The appraiser’s role in partnership dissolution proceedings is critical. Their valuation often determines the minimum sale price, buyout amounts, and equalization payments. Choosing the right appraiser can make a significant difference in the outcome.
Why the Appraiser Matters So Much
In contested dissolution proceedings, both parties typically present their own expert appraisals. The court must choose between them – or appoint a third appraiser – to determine the property’s value. An appraiser who is experienced, credible and thorough provides a significant advantage.
Qualifications to Look For
Look for an appraiser who is licensed by the Council for Regulation of Real Estate Appraisers, has specific experience with the type of property involved, has testified as an expert witness in court proceedings, and can explain their methodology clearly and defend it under cross-examination.
Property-Specific Expertise
Different types of properties require different appraisal expertise. Residential apartments, commercial properties, agricultural land, industrial facilities – each has its own valuation methods and market dynamics. An appraiser who specializes in the specific property type provides more reliable results.
Independence and Credibility
The appraiser must be genuinely independent – not someone who routinely provides inflated or deflated valuations on demand. Courts give greater weight to appraisers with a reputation for objectivity, even when those appraisers are retained by one party.
Working With Your Appraiser
Providing the appraiser with all relevant documentation, ensuring they have full access to the property, and briefing them on the legal context of the proceedings helps produce a thorough and well-supported valuation. An attorney will coordinate the interaction between the client and appraiser to maximize the effectiveness of the expert evidence.
