Confilct Avoidance And Dispute Resolution Flashcards
What should you do if you become aware of a conflict of interest?
Follow the guidance from RICS professional statement of interest 2018 as well as Bidwells procedure
What is a conflict of interest?
when personal or professional interests could potentially influence an individuals ability to act impartially and in the best interests of their clients or the public.
What is conflict avoidance?
Where a conflict exists so you do not accept an instruction
Causes of disputes?
Different opinions between parties
Contractual disputes
professional negligence
payment issues
conflicts of interest
quality of work
delays
How to avoid avoid disputes?
Risks should be managed so all parties can avoid disputes before they happen.
Contracts should include early warnings
Contract should specify that parties should work together to avoid disputes
Effective client briefings
Conflict avoidance pledge
What is the RICS profession statement on conflicts of interest m?
Provides rules to RICS members and regulated firms on how to identify and manage potential conflicts.
It provides definitions for the different types of conflict and processes that members must follow.
It is mandatory for RICS members to comply with this statement
What is Bidwells policy on conflicts?
When accepting new instructions prior to accepting you must investigate if any conflicts of interest exist. Must check daily conflict of interest emails
What is informed consent?
when a party who may be adversely affected by a conflict, acknowledges that risk but still agrees to the instruction to proceed with the assignment.
What is the ADR
Alternative dispute resolution provides ways to resolve disputes without resorting to litigation.
Negotiation - dialogue to reach an agreement that satisfies both parties. Low costs. May not reach an agreement. Parties retain control over the outcome
Mediations - negotiation carried out with the assistance of a 3rd party that does not express an opinion. Is voluntary and flexible. Confidential protects sensitive info and encourages open communication.
Adjudication - legal process whereby an adjudicator reviews evidence by both parties. To come to a decision to determine rights and obligations. Private and more likely to give an outcome. Quicker and less formal than arbitration.
Arbitration- legal technique governed by arbitration act 1996 whereby a 3rd party reviews case and imposes a decision that is legally binding. Provides a biding resolution that is enforceable. Private. Decision making lies with arbitrator. Costs more.
Litigation - lawsuit within a court of law
