Ethics Flashcards
When was the RICS formed?
1868
What is the role of the RICS?
- Regulate and promote trust in the profession
- Protect clients and consumers
- Provide impartial, advice, analysis and guidance
Who is the RICS president?
Clement Lau
Who is the RICS CEO?
Richard Collins
Who is the Chief markets Officer?
Matt Harrison
Who is the Chief Information officer?
Paul Hobbs
What is the RICS motto?
Est modus in rebus
There is measure in all things
What are the 5 Ethical Standards?
1 - Act with Integrity
2 - Act in a way that promotes trust in the profession
3 - Always provide a high standard of Service
4 - Treat others with respect
5 - Take Responsibility
Why is it important to act with integrity?
I am representing both myself and the profession
Give me some examples of how you adhered to one of the ethical standards?
1 - Act with Integrity
2 - Act in a way that promotes trust in the profession
3 - Always provide a high standard of Service
4 - Treat others with respect
5 - Take Responsibility
What are the penalties for failing to adhere to the RICS ehtical practices?
Investigation and possible disciplinary action
How would you contribute to the RICS?
CPD
Annual General Meeting
Mentor / Counselling
Networking Events
What is Lionheart?
RICS Charity
What are the levels of PI Insurance?
£100k or Less = 250k
£200k + = £1mil
Can you receive gifts at any time of the year?
No
In what situation would you accept a gift or invitation?
If a client was to host a celebration at the end of the project with the team
If you are a sole practitioner and you are about to retire? what might you have to do?
Have run off cover in place
Run off PI Insurance (6 or 12 years)
If a client was upset with the service he was receiving what recourse may he have?
Use company complaints handling procedure found in terms of business or on companys website
When is PI Insurance required?
If you provide advice, design or a service
Covers claims made against the practice as a result of conduct of the business
What is a net contribution clause?
Clause within contract which only portions that parties liability to them.
The client will have to sue, go after the other for another consultants liability
What is a limitation on liability?
provide a cap on liability within a contract
What is a duty of care?
Moral / Legal obligation to ensure the safety or well being of others
Why do i want to join the RICS?
Be recognised in my profession
Proud achievement
Demonstrate my capability
What is indemnity?
Security or protection against a loss
Your friend is a chartered surveyor. You find that he is working outside the RICS rules of conduct. What do you do?
I verify the facts and confront him of his duties as a member.
I inform the RICS and any corrective action which i believe my friend should put in place.
Breach of a rule of conduct? What is the procedure?
*not every shortcoming gives rise to a proceedings
- formal investigation by the Head of Regulation
- RICS can request information, inspect or investigate compliance
What actions can be imposed after a breach of a rule of conduct?
Fixed Penalty
Consent Order
Disciplinary Panel
What procedures must you follow up if starting up your own firm?
- Inform the RICS for registration and Regulation
- Appoint a contact officer for all RICS comms
- Prepare a complaints handling procedure
- Obtain PI Cover
- Abide by Rules of Conduct
Complaints Handling Procedure?
Details of procedure must be issued to client with Terms of business
Clear, quick, transparent and free of charge
Complaint must be investigated within 28 days
All complaints must be logged
PI Insurers to be notified of a complaint
What is an independent redress scheme?
Consumer scheme designed to handle small issues which would be dis-proportionally expensive to take to court
What practices should be followed when handling client money?
Separate designated bank accounts
Bank account clearly named with clients name
Agree account handling terms
Appoint principle of both parties to manage
Agree interest and how that is to be dealt with
What is the ‘Clients money protection scheme’?
Run by the RICS
reimbursed for direct loss of funds
What are the CPD requirements?
20 hours
min 10hours formal
How do you record your CPD?
RICS provides an online recording facility
What would you do if a contractor invites you to a football match?
politely decline
During your interim valuation, the contractor gave you a bottle of wine. What do you do?
Politely refuse as it could be seen to affect decisions.
A junior QS in your team incorrectly over certifies on an interim valuation - what do you do?
Check facts
Check if valuation has been processed
Withdraw or recertify if not
If issues, explain to all parties and redress for next month
put in procedure to ensure it does not happen again
How to protect commercially sensitive info?
Locked File System
Only certain individuals work on project
Physical separation of staff
Security / Locked Filing Cabinets
Screen Blankers
What steps should be taken if there is personal conflict?
Disclose the relevant facts promptly in writing
What is the purpose of PI?
To provide financial cover in the event a client suffers finanacial loss from professional advice given
What benefits does PI provide?
protects the professional from financial loss
prevents having to claim out their own assets
If an estimate prepared by a QS is incorrect can the client claim damages?
An estimate that is incorrect in itself will not provide the client with a right of redress
It could have been incorrect due to reasons outside their control e.g. market conditions
How do you conduct a fee proposal?
Client RFP
Resources Schedule Against Scope
Cost of Labour
Total Cost
Extras
Assumptions & Exclusions
T&C’s
If the client gives you a lump sum fee before going on holiday, what would you do?
Place in a separately identified client account and agree a drawdown of monies against services.
What are the 5 principles of better regulation?
- Accountability
- Consistency
- Proportionality
- Targeting
- Transparency
Who is the governing council?
Set below the privy council, set strategy,, direct and manages royal charter obligations
Why do the RICS have rules of conduct?
Consistency of service and approach
Rules for members to act in a professional capacity
Given clients satisfaction and minimum level of service
RICS Professional Standards?
Professional Statements = Mandatory requirements, regulatory interventions if these are not met
Guidance Notes = Not mandatory requirements, but recommended best practice
Why do we have guidance notes, and why do we follow them?
Outline best practice within the profession and provide advice to surveyors on how to complete certain activities.
If there is ever professional negligence claim and a member has not followed a guidance note, the courts may review these to determine whether the member has acted competently
What is a RICS Black Book
Suite of guidance notes and define good technical standards
Can you explain how you act with integrity?
trustworthy in what i do
Open and transparent in the way i work
respecting confidential information
Not allowing bias
Not offering or accepting gifts
Can you explain how you take responsibility?
Be accountable for my actions
always act with skill care and diligence
If something isnt right, prepared to challenge
Explain how you treat everyone with respect?
Treat everyone polityely
considerate and mindful to all team members, clients and ppl in my firm
never discrimnate
Explain how you provide a high standard of service?
ensure all my work is quality management checked
always and only acting within my scope of competence
Communicate with my client in a way that will allow them to make informed decisions
Explain how you provide promote trust in the profession?
Following rules of conduct
understand how my actions look on me as an individual and within the industry
act in a trustworthy manner
What are the key areas where ethics are important?
Gifts
Opportunities
Conflicts of Interest
D&I
What other types of insurance other than PI will you need when setting up your own firm?
Public Liability
Employer Liability Cover
Directors and Officers Insurance
Building Insurance
What is a conflict of interest?
anything that impedes an individuals or firms ability to act impartially and in the best interest of the client
What is a bribe?
An inducement or reward to gain any advantage
What is the Bribery Act 2010?
Covers Criminal law relating to bribery
What are the 6 principles of the Bribery Act?
- Proportionality
- Top Level Commitment
- Risk Assessment
- Due diligence
- Communication
- Monitoring and Review
How do i comply with the bribery act?
Anti bribery and corruption policy at work
undertake training on these
What is money laundering?
illegal process of cleaning money from illegal activities
What is corruption?
Form of dishonesty or criminal offense by a person or organisation
What is modern slavery?
Severe exploitation of other people for personal or commercial gain
Examples of modern slavery?
Forced Labour
Human Trafficking
Child Slavery
Early and arranged marriage
Aggregate vs any one claim?
Any one claim = provides cover up to full limit for each individual claim
aggregate = cover up to the full limit for all claims made in that period of insurance
