Home Apprasial

My buddy is building a home and his mortgage LO do an apprasial on his house before it was being built. The LO did a "subject to" apprasial. The apprasial was done on Sept 28th and the slab was not even poured until October 5th.

My buddy has since decided to switch loan officers because his other would never call him back or answer emails. The old LO is now billing him for the cost of the apprasial. He did sign a paper saying he was on the hook for the apprasial if he did not go through with the loan.

Does this sound normal? What would happend if he just didnt pay it?