Conduct Rules, Ethics And Professional Practice Flashcards
What are the 5 rules of conduct ?
No.1 - Members and firms must act with integrity, be honest and comply with their professional obligations
No.2 - Must ensure their level of professional competence and ensure a high level of service.
No.3 - Must provide a good quality diligent service
No.4 - Must treat others with respect and promote diversity and inclusion
No.5 - Must act in the public interest and, take responsibility for their actions and maintain public confidence in the profession.
What level of PI Insurance would you need in place to start up your own practice?
- Refer to RICS Guidance notes on PI Insurance
- Based on fee income
- £100k or less = £250k PII
- £101k - £200k = £500k PII
- £200k or more = £1m PII
What is your understanding of the ‘Client money protection scheme’?
-This scheme provides protection, as a last resort, in instances where an RICS Regulated firm is unable to repay a client’s money, up to the limits and exceptions set out in the scheme rules.
A Client wants to pay you in advance for services. How would you deal with this?
- I would follow the rules associated with handling clients money
- Make sure a separate client holding account is set up and properly named and clearly identifiable
- Informing and agreeing with the client on how money will be drawn from the account
- prior to receiving the money, ensure the money has been checked for money laundering purposes
- Any interest received should be clearly identified prior to acceptance
-I would advise the Client that this money would not be covered by the ‘Client money protection scheme’
Please provide an example of when you complied with the rules, ethics and profession practice?
- Recently i was on site carrying out a valuation, and i noticed a group of workers not wearing any PPE. I notified the site manager and ensured the group was wearing the correct PPE before I left site, I was acting in the publics best interests.
- I have also joined my organisations Diversity group, which was recently set up. I look forward to contributing to the group going forward.
What procedures must you follow/be in place if you are starting up your own practice?
- Inform the RICS & register for regulation
- Prepare a complaints handling procedure
- Obtain the correct level pf PI Insurance
- Abide by the RICS Rules of Conduct
- Use the ‘Regulated by RICS’ on all practice material
Please give an example of when you advised a Client on the Rules, Ethics and Professional Practice?
An example on the Holland Gardens project, One of the tendering contractors who I was working with on a different project asked me to provide indicative commercial feedback in relation to their tender return. I informed the Client about the incident and advised that feedback would be given formally using the appropriate methods.
What are the factors that influence Client goals in relation to Time, Cost and Quality?
- Current market and industry conditions
- Industry regulations changing (for example Pi Insurance around fire works)
- Updated industry standards making it tougher for developers.
- Increases in material and labour rates since Brexit and Covid
- Project durations such as lead in period for product due to Ukraine.
What is your understanding of the procedures on ‘Complaints Handling’?
- I would follow my organisations complaints handling procedure
- I would notify the project partner who would discuss with the OMP - possibly notify insurance.
- OMP will identify an individual to respond to the complaint in a timely manner.
- Communicate the outcome and course of action to the Client.
- if the complainant is still unhappy, they have a right to mediation and dispute revolution.
What contractual advice have you been giving your Clients regarding the impact on Covid-19 on existing/upcoming projects?
- I have advised on the impact of material and labour price increases, and the potential for long lead in periods on products, which may cause delays.
- I use BCIS inflation predictor The predicted increase of inflation in the second half of the year, therefore Fluctuation clauses within the JCT Form of contract may be utilised more by the contractor to offset any future rises and unnecessary shocks to the Client.
Tell me what is included within your organisations ‘Client Care and Complaints’ handling procedure.
- Proactive in agreeing client brief
- Provide documents to a high standard
- Be flexible to changing requirements
- Ensure staff are accessible
- provide a service which clients can rely on
What are the Rules of Conduct for firms?
- Same as individual +
- Complaints handing procedure
- security of clients money
- correct PII cover
- Competent staff/services
What are the CPD requirements for members?
- 20 hours per year CPD (50% being formal)
- maintain professional standards and ethics module.
When is it acceptable to act where there is a conflict of interest?
- Firstly, Never!
- However, there are circumstances where if it benefits all parties involved and all are in agreement. As long as it is not illegal and is recorded.
What would you do if a Client wanted to give you a gift?
- I would inform my manager, incase there is any conflict.
- Gift must proportionate to services provided
- seek to promote profession and business image.
