Conflict Avoidance, management and dispute res

Question 1

What is a conflict?

Answer 1

A situation where there may be an actural perceived or potential risk that the prof judgement of RICS regulated firm or member will be compromised when undertaking an assignment.

Question 2

What RICS document relates to conflicts?

Answer 2

RICS Professional Statement - Conflicts of Interest (1st Edn, effective Jan 2018)

Question 3

What is a party conflict?

Answer 3

Where duty of RICS member/firm to act in interests of a client or other party in instruction conflicts with duty owned to another client or party in relation to the same or related professional assignment.

Question 4

What is an Own Interest Conflict?

Answer 4

Where duty of RICS member/firm to act in interests of a client in an instruction conflicts with interests of that same RICS member/firm, the interests of any individuals within that regulated firm who are involved directly or indirectly in that or any related prof assignment.

Question 5

What is a Confidential Information Conflict?

Answer 5

Where duty of RICS member/firm to provide material info to one client and duty of that member/Firm to another client to keep same info confidential.

Question 6

What is an Information Barrier?

Answer 6

Physical/Electronical separation of individuals within same firm that prevents confidential info passing between them.

Question 7

What is Informed Consent?

Answer 7

Consent given willingly by party who may be affected by a conflict of interest.

Question 8

How to avoid conflicts?

Answer 8

-Adhere to RICS Guidance
-Identify any potential conflicts asap and communicate with all parties asap
-Politely decline instruction unless there is a way to obtain Informed Consent. Even if Informed Consent granted by parties, member/firm should have final say whether to proceed.

Question 9

What are the 3 pillars of dispute resolution?

Answer 9

Negotiation
Mediation
Adjudication

Question 10

What is Alternative Dispute Resolution?

Answer 10

Term used to describe ways to resolve dispute without going to court.

Question 11

What are some different ADR types?

Answer 11

Adjudication
Mediation
Arbitration
Expert Determination
PACT

Question 12

What are some advantages of PACT

Answer 12

Speed
Expertise
Flexibility
Privacy

Question 13

What are some advantages of mediation

Answer 13

Cost effective
Time efficient
Preserves Relationships e.g. collab nature can help maintain or even improve relationships making it useful for family or business disputes.
Empowerment
Customized solutions

Question 14

What are the timescales for adjudication?

Answer 14

RICS nominate adjudicator who is expect in subject matter in dispute and will use expertise to decide matter within 28 days.

Question 15

What is Mediation?

Answer 15

Use of neutral mediator to facilitate discussions with no decision-making authority. Confidential and informal and normally done on without prejudice basis.

Question 15

What is Adjudication?

Answer 15

Uses own knowledge to reach legally binding decision in contractural process. Strict 28 day time scale imposed by legislation.

Question 15

What guidance relates to Expert Witnesses?

Answer 15

RICS Practice Statement - Surveyors Acting as Expert Witness 2020 (amended 2014)

Question 16

What does RICS Practice Statement - Surveyors Acting as Expert Witness 2020 state?

Answer 16

Duty of care is to court not client.
Need for conflict of interest check
Written TOE needed before acting setting out fee.
Advice must be unbiased.
Should inspect if required.
Must state facts and assumptions and not omit material facts that might be relevant to your advice.