Client Care Flashcards
Level 1 - 2
What is included within a terms of engagement?
Name of client
Property address
Scope of service and any limitations
Fee, and fees for any additional work outside of scope
Approximate timelines
Payment terms
Details of complaints handling procedure
What else do you issue along with terms of engagement?
Terms and conditions, includes 20 headings relating to:
Appointment
Standard of care
Statutory requirements
Prohibited materials
Fee
Additional services
Payment terms
Default, interest and suspension
Limitations of liability
Insurance
Copyright
Suspension of services
Termination of engagement
Payment upon suspension or termination
Assignment and Sub-Contracting
Disputes
General
Notices
Governing Law & Jurisdiction
A client asks you to reduce a fee, what would you do?
If the client has budget constraints and requests a fee reduction I would not reduce the fee unless the scope of service also reduces in line with this. I would work with client to accommodate their budget and provide services in line with it.
How would you calculate a fee?
Discuss with client to correctly identify level / scope of service required.
Consider how many hours the work will take and any expenses to be reasonably incurred e.g. travel
Allow for profits and overheads within the fee
Why is client care important?
Promotes trust in the industry and company
Maintains client relationships to help build business
Maintain a reputation in the industry
What is a duty of care?
What is a duty of care?
Are you aware of any case law relating to duty of care?
Yes, Donoghue vs. Stevenson 1932. It established the general principle of duty of care in law.
Are you aware of any guidance relating to complaints handling?
Yes, the RICS Complaints Handling Professional Standard.
What are the types of conflicts on interest ?
A ‘party conflict’ –
An ‘own interest conflict’ –
A ‘confidential information conflict’
What is a party conflict?
a situation in which the duty to act in the interests of a client or other party in a professional assignment conflicts with a duty owed to another client or party in relation to the same or a related professional assignment.
What is an own interest conflict?
a situation in which the duty to act in the interests of a client in a professional assignment conflicts with the interests of that same RICS member/firm.
What is an confidential information conflict’
a conflict between the duty of an RICS member to provide material information to one client, and the duty of that RICS member to another client to keep that same information confidential.
How do you manage conflicts of interest in your work?
I recognize the importance of identifying and addressing conflicts of interest (COI). I understand the rationale behind the process and the potential consequences of failing to manage it properly. I follow RICS Rules of Conduct and ensure I always act in the best interests of my clients.
How have you demonstrated your understanding of the RICS Rules of Conduct?
I’ve studied the RICS Rules of Conduct thoroughly and apply them in my daily work. For example, when asked to tender to unfamiliar contractors, I advised the client that we would carry out due diligence checks first, prioritizing their safety and satisfaction.
Can you give an example of how you’ve calculated and presented fees to a client?
Yes, I prepared a fee proposal for the Church Commissioners, which included a fixed sum for initial reporting services and a percentage-based fee tied to the contract value. This approach offered transparency and aligned our incentives with the client’s objectives.
How do you confirm and formalize your instructions with a client?
I issue a formal appointment document or letter of engagement outlining the agreed services, fee structure, timescales, and responsibilities. This includes standard terms of business and reference to RICS standards, ensuring the agreement is clear and professional.
