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The ability to complete a project, make a product, or otherwise do what is required. Both individuals and companies have competence. For example, an engineer would not likely find a job as a nurse because it is outside his competence, that is, his ability to do the required work. Likewise, a dental office is unlikely to be hired to design a skyscraper.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
competent(1) Duly qualified; having sufficient ability or authority. (2) Having the legal ability to testify about a particular subject. In real estate, the concept is important because property owners are usually competent to testify about the value of their property before a loss and the value of their property after a loss.In other words,it is not legally necessary to hire an appraiser to testify,although it is prudent as a practical matter.
The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.