We requested an appraisal for a commercial loan from an appraiser on our 'list' [A]. He contracted it out, without our approval or prior knowledge. That company [B] addressed the appraisal to us/our personnel as if we had requested it directly from them.
We paid Appraiser [A] and put his name on the settlement statement. He then paid Appraiser [B].
Can Appraiser [A] do that? Do we need Appraiser [A]'s request/contract to Appraiser [B] to complete the paper trail?

I think they violated several section of the USPAP Ethics rule. I would pull him from your approved list and have a discussion with your State's appraisal licensing board.

That sounds very odd indeed.

One last question - you said "We requested an appraisal for a commercial loan from an appraiser".

I take it you mean you had a signed engagement letter with this appraiser??

Yes, we had a signed engagement letter with Appraiser [A]

I found, according to the USPAP, we could have an agreement with an appraisal management type company to act as our authorized agent and then appraiser [B] could have listed us as the client and been paid through appraiser [A]. We have no such agreement with appraiser [A].

Thanks for the input. Compliance is like Motherhood, always cleaning up after someone!