TM_E_2557_
_07
Designation:E255707An American National StandardStandard Practice forProbable Maximum Loss(PML)Evaluations for EarthquakeDue-Diligence Assessments1,2This standard is issued under the fixed designation E2557;the number immediately following the designation indicates the year oforiginal adoption or,in the case of revision,the year of last revision.A number in parentheses indicates the year of last reapproval.Asuperscript epsilon()indicates an editorial change since the last revision or reapproval.1.Scope1.1 This practice establishes standard-of-care for evaluationand classification of the financial risks from earthquake dam-age to real estate improvements for use in financial transac-tions.As such,this practice permits a user to satisfy,in part,their real estate transaction due-diligence requirements withrespect to assessing and characterizing a propertys potentiallosses from earthquakes.This practice is intended to addressonly physical damage to the property from site and buildingresponse.1.1.1 Hazards addressed in this practice include earthquakeground shaking,earthquake-caused site instability,includingfaulting,subsidence,settlementlandslidesandsoilliquefaction,earthquake-caused tsunamis and seiches,andearthquake-caused flooding from dam or dike failures.1.1.2 Earthquake-caused fires and toxic materials releasesare not hazards considered in this practice.1.1.3 This practice does not purport to provide for thepreservation of life safety,or prevention of building damageassociated with its use,or both.1.1.3.1 This practice does not address requirements of anyfederal,state,or local laws and regulations of building con-struction or maintenance.Users are cautioned that currentfederal,state,and local laws and regulations may differ fromthose in effect at the times of construction or modification ofthe building(s),or both.1.1.3.2 This practice does not address the contractual andlegal obligations between prior and subsequent Users of PMLreports or between providers who prepared the report and thosewho would like to use such prior reports.1.1.3.3 This practice does not address the contractual andlegal obligations between a provider and a user,and otherparties,if any.1.1.4 It is the responsibility of the owner of the building(s)to establish appropriate life-safety and damage preventionpractices and determine the applicability of current regulatorylimitations prior to use.1.2 Considerations not included in the scope:the impacts ofdamage to building contents,loss of income(s),rents,or othereconomic benefits of use of the property,or from legaljudgments,fire sprinkler water-induced damage or fire.1.3 The values stated in inch-pound units are to be regardedas standard.The values given in parentheses are mathematicalconversions to SI units that are provided for information onlyand are not considered standard.2.Referenced Documents2.1 ASTM Standards:3E2026 Guide for Seismic Risk Assessment of Buildings2.2 Other Standards:4UBC-97 Unifrom Building Code,1997 EditionInternational Building Code 2006 Edition2.3 ASCE Standards:5ASCE 7 Minimum Design Loads for Buildings and OtherStructuresASCE 31 Seismic Evaluation of Existing BuildingsASCE 41 Seismic Rehabilitation of Existing Buildings3.Terminology3.1 See also definitions in Guide E2026.3.2 DBE,nDesign Basis Earthquake,as defined in GuideE2026.3.3 lateral load-resisting system,nLateral Load ResistingSystem,as defined in Guide E2026.3.4 MCE,nMaximum Capable Earthquake as defined inGuide E2026.3.5 PML,nTerm historically used to characterize buildingdamageability in earthquakes.1This practice is under the jurisdiction of ASTM Committee E06 on Perfor-mance of Buildings and is the direct responsibility of Subcommittee E06.25 onWhole Buildings and Facilities.Current edition approved May 1,2007.Published May 2007.DOI:10.1520/E2557-07.2Portions of this publication reproduce content from the 1997 Uniform BuildingCode,International Code Council,Inc.Falls Church,Virginia.Reproduced withpermission.All rights reserved.3For referenced ASTM standards,visit the ASTM website,www.astm.org,orcontact ASTM Customer Service at serviceastm.org.For Annual Book of ASTMStandards volume information,refer to the standards Document Summary page onthe ASTM website.4Available from International Organization for Standardization(ISO),1 rue deVaremb,Case postale 56,CH-1211,Geneva 20,Switzerland,http:/www.iso.ch.5Available from American Society of Civil Engineers(ASCE),1801 AlexanderBell Dr.,Reston,VA 20191,http:/www.asce.org.Copyright ASTM International,100 Barr Harbor Drive,PO Box C700,West Conshohocken,PA 19428-2959.United States1 3.5.1 DiscussionProbable maximum loss,shall be definedby the user from SL or PL values using definitions of GuideE2026.For SL-based measures include in the report thespecified earthquake or ground motion for which it is to beevaluated and stipulate whether it is an expected value(SEL)or upper value(SUL).For PL-based measures,the returnperiod for non-exceedance shall be specified,or