Lender requests Reliance Letter

[exploreparadise2]

I received a request from a lender that wants me to sign a reliance letter in regards to a refi. It was for a commercial inspection I did nine months ago. The lender sent me a copy of the inspection report and is asking for verification of the report and they want me to attest that they can rely on it. My inspection report has a statement that it is intended for the named client only and is not to be relied upon by any third party.

Has anyone come across this kind of request before? I haven't. My first inclination is to respond by email that I prepared the report and it only pertains to the condition of the property at the time of the inspection and to restate the comment that any third party must hire their own inspector. No way am I signing anything. Any thoughts? A copy of the letter is attached.

Thanks,

Download Attachment: MWC_Reliance_Letter.doc

33.21 KB

[kurt]

I read the letter; sounds like they want you on the hook without paying you a fee.

Maybe I got it wrong, but it has a definite aroma.

[Erby]

Wouldn't do it.

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[hausdok]

Hi Blair,

Is the person that they are loaning to the same person that hired you to inspect the building or has the building been signed and now they are trying to pawn off a 9-month old report on a buyer without paying for it?

I'd call them up and ask them what it is they are trying to do; and then, depending on how they'd answered, I might contact my attorney before I decided to sign anything.

ONE TEAM - ONE FIGHT!!!

Mike

[Bill Kibbel]

I wouldn't even sign it with Kurt's pen.

[exploreparadise2]

The client bought the building after the inspection and is now seeking refinancing. A capital management firm is representing that client in seeking the refinancing and forwarded the lender's reliance letter form to me. The management firm asked me if there is a fee for filling out the reliance letter. I don't want their fee. I want them to go away.

[Marc]

I'd toss that letter straight into my waste basket. Wouldn't call them. I'd let them call me, then I'd tell them that all I could do was sell them another home inspection. 'Reliance letter' is not something that I sell, much less give away.

Dingbat lenders!

Marc

[Scottpat]

Ya know, I would just tell them that is is against my company policy to sign such forms. I would not elaborate any more on that statement. End of discussion...........

[gtblum]

Hi Blair,

I'd call them up and ask them what it is they are trying to do; and then, depending on how they'd answered, I might contact my attorney before I decided to sign anything.

ONE TEAM - ONE FIGHT!!!

Mike

I'm liking this idea before you write it it off.

It won't cost you more than the phone call to figure it out.

[Tom Raymond]

For what? Unless the one of the other parties is going to pay for that signature he has nothing to gain. Lenders should understand this better than anyone, they charge fees for everything.

[Charlie R]

I'm with Scott, "Ya know, I would just tell them that is is against my company policy to sign such forms." sounds like the best approach.

[Erby]

Offer to do a new inspection for THEM! After all, the old report is nine months old.

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