Responding to an Independent Dispute Resolution (IDR) Decision

The IDR process is available for disputes that are not resolved through the appeal, impasse, or management escalation processes. The IDR process is available provided the preconditions to each step have been followed and the parties have not filed litigation to attempt to address the dispute. IDR is available to lenders that have not been suspended, disqualified, or terminated by Fannie Mae, and that have complied with any prior IDR award or demand made by Fannie Mae (as applicable).

The process will be managed outside of Loan Quality Connect. Fannie Mae and the lender will work with a neutral third party to resolve the dispute.

• The lender shall consult the Selling Guide (A2-3.2-03: Remedies Framework for details related to the IDR process requirements, timelines and fees due at inception and at arbitrator's decision. steps and costs associated with in IDR. The Appeal and Independent Dispute and Resolution Processes located on Fannie Mae's website should also be referenced.
• Lender Initiation of IDR. If Fannie Mae reaffirms the demand at the end of the management escalation process, the lender will have 15 days to initiate the IDR by completing and submitting an executed Retainer Agreement to the Fannie Mae officer involved in the management escalation process and to the program administrator, as described in the Appeal and Independent Dispute Resolution Processes.

If the outcome of the IDR favors your case, you will be notified by email that the review is closed and no further action is required on your part. Otherwise, you agree to the arbitrator's decision in Loan Quality Connect.