InterNACHI to file multi-million dollar lawsuit against NAHI's Matthew Steger.
June 26, 2007
Certified
Mail, RRR
Lancaster County Association of Realtors
1930 Harrington Drive
Lancaster, PA 17601
Attn: Rich Heslin, President
Dear Mr. Heslin:
We represent the International Association of Certified Home Inspectors
(“InterNACHI”).
Your organization published an article entitled Home Inspector Associations
and PA Law (Act 114), by Matt Steger, in the June 2007 edition of the LCAR Closing
Comments newsletter. This article contains numerous inaccuracies and misleading
statements that are having a direct economic impact on InterNACHI members in Pennsylvania.
Specifically, I refer you to page 4, paragraph 5, beginning with,
“If your inspector is not a member of NAHI, ASHI, or AII, he is in violation of
the PA Law, according to PHIC.” The article continues to state; “Believe it or
not, there are several other home inspector associations that are in violation
of PA Law (according to PHIC). One such organization is called InterNACHI (National
Association of Certified Home Inspectors). A InterNACHI designation after one’s name
doesn’t prove one way or the other that he is a qualified home inspector since
the InterNACHI exam is not proctored and is simply done online.” The article also
mentions the pending federal lawsuit between NAHI and InterNACHI, which is not relevant
to InterNACHI’s compliance with PA Law.
It is important to note these statements do not form any factual
basis for the opinion InterNACHI is not compliant with PA law. The fact that InterNACHI
members are required to take an on-line exam does not disqualify the exam as being
in compliance with the PA Law. PHIC is a private organization formed by home inspectors
that do not want to compete with InterNACHI members, but the article gives the impression
that PHIC has some legal standing to determine who is in compliance with Pennsylvania
law. In fact, InterNACHI has repeatedly beat PHIC in court, and in July of 2005 PHIC
voluntarily dismissed a lawsuit it had filed against InterNACHI in Chester County,
Pennsylvania rather than risk being held liable for InterNACHI’s attorney’s fees in
that matter because of the frivolous nature of PHIC’s claims. (Case No. 03-07803).
InterNACHI is in full compliance with the PA Law and as such InterNACHI requesting
that your organization allow InterNACHI equal space in the LCAR Closing Comments newsletter
outlining its compliance with the PA Law. InterNACHI is also requesting that your
publication provide InterNACHI with free advertising for one year in return for a full
release from any liability.
InterNACHI is and always has been in full compliance with the Pennsylvania Home Inspection
Law since its inception in December 2001. The website of the Attorney General
of Pennsylvania highlights the requirements under the Act:
- Home inspectors are required to be a full member in good standing of a national,
not-for-profit home inspection association or must be supervised by someone who
is.
- Members must comply with a code of conduct and attend continuing professional
education classes as an ongoing condition of membership.
- Home inspectors are prohibited from performing repairs on the same house he or
she inspected within the preceding 12 months.
- The party selling the property that is the subject of the inspection has the
right to receive a free copy of the report upon request.
- Home inspectors must maintain insurance against errors and omissions and general
liability coverage.
- A violation of this new law amounts to a violation of Pennsylvania's Consumer
Protection Law
The Act defines a “national association” as an association with members
in more than 10 states; InterNACHI has members in all fifty states and throughout Canada.
The Act defines a “full member” as a person who has performed or participated
in more than 100 home inspections and has passed a recognized or accredited examination;
InterNACHI defines a “full member” the same way.
InterNACHI is the largest home inspector organization in the world. More
than 9,000 North American inspectors call InterNACHI home. The requirements to become
a member of InterNACHI are available for all the world to see at http://www.nachi.org/membership.htm.
You can see InterNACHI’s Code of Conduct at http://www.nachi.org/code_of_ethics.htm.
InterNACHI has already instructed us to prepare lawsuits against Mr. Steger
and several others who are conspiring to convince local realtors that InterNACHI is
not compliant with Pennsylvania law, and we are in the process of preparing those
lawsuits, which we believe will be filed within a few weeks. We would prefer
to keep LCAR out the lawsuit against Mr. Steger.
I look forward to a quick resolution of this issue. If you or your
organization’s attorney wish to speak with me, you may call me at (303) 258-0561
with any concerns or questions.
Sincerely
COHEN
HORNER, LLP
MSC:wth MARK S. COHEN