Court Limits XL's Liability For Fiserv Home Appraisals

Law360, New York (April 6, 2012, 5:35 PM EDT) -- A New York state appeals court on Thursday said XL Specialty Insurance Co. can strictly interpret its policies so that mortgage lenders using Fiserv Solutions Inc.'s computerized appraisal programs are constrained in their ability to file successful claims over inaccurate appraisals.

The case centered on XL policies insuring the accuracy of appraisal software that gave lenders a range of values for specific properties. After receiving a range, lenders would select a precise value when issuing a loan.

For several years, XL had criteria that resulted in...
To view the full article, register now.