Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

HN APC > Ethics > Flashcards

Ethics Flashcards

1
Q

What does the acronym RICS stand for?

A

Royal Institution of Charted Surveyors

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

When was the RICS Founded?

A

1868

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What created the present structure of the RICS?

A

Agenda for Change 1998

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What sets out the governance of the Institution?

A

RICS Royal Charter

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Who granted this charter?

A

The privy council

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What does a Royal Charter promote?

A

Usefulness of surveying profession for the advantage of the public

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

How does the RICS benefit the public?

A

Self regulatory

Gold standard of excellence

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What are the RICS Bye-Laws

A

Set out the governance of the RICS

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

How many Bye-Laws are there?

A

10

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Name 3 Bye-Laws

A

Membership and Registration
Designations
Procedure for general meetings

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

How long does the chair of the governing council act for?1

A

Up to 6 years

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

How many seats are currently in the governing council?

A

50

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What are the current 5 RICS priorities

A

Influential Leader
Trusted by our stakeholders and society
RICS professional qualifications remain in demand
Sustainable 21st century professional body

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What are the 4 levels of RICS membership?

A

FRICS
MRICS
AssocRICS
Trainee/Student

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What is the definition of RICS Fellowship?

A

“An honoured class of membership awarded on the basis of individual achievement within the profession”

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

How does a MRICS become a Fellow?

A
  • Evidence of achievement of 4 Fellowship characteristics; champion, expert, influencer, role model)
  • 5 or more years as MRICS
  • Leadership role
  • Professional/technical achievement
  • Raising the profile of the RICS
  • Portfolio of professional achievement
  • CPD record must be up to date
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

What is the RICS governance structure?

A
  1. Privy Council
  2. Governing Council
    3a. Regulatory Board
    3b. Audit Committee
    3c. Management Board
  3. Professional Group Board
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Who is the current president of the RICS

A

Timothy Neal

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Who is the current CEO of the RICS

A

Sean Tomkins

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Who is the president elect

A

Kath Fontana

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What is the RICS motto

A

There is measure in all things

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

How many professional group boards are there>

A

17

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

What is the purpose of a professional group board

A

An elected board who are responsible for outlining standards of competence and practice for that area

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

What is the UK Structure of the RICS

A

4 National associations
9 Regional Boards in England
Local associations

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

What are the major challenges facing the RICS

A

To understand and use data effectively
Including privacy of that data
Technology changes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

What is the role of the RICS

A

Regulation
Advice
Training

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

What are the benefits of being an RICS member

A 
Status
Knowledge
Recognition
Market advantage
Network
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

What are the 5 principles of RICS regulation

A 
Proportionality
Accountability 
Consistency 
Targeting
Transparency
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

What are the benefits of regulation

A

Quality assurance for competence, enhancing members status by providing confidence to consumers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

What are the RICS Ethical Standards

A 
Service
Trust
Integrity 
Respect
Responsibility
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

What is the link between the professional standards and the bye laws

A

Bye Law 5 - refers to members conducting themselves in a manner in alliance with RICS and Rule 3 of behavior of firms and members

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

What helps members to make the right choice

A

Ethical Decision Treet

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
33
Q

What are the Rules of Conduct for Members

A

Part 1
Definition
Communication

Part 2 
Ethical Behaviour
Competence
Service 
CPD
Solvency 
Information
Co-Operation
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
34
Q

What are the Rules of Conduct for Firms

A

Part 1
Definition
Communication

Part 2 
Professional Behaviour
Competence 
Service
Training & CPD
Complaints Handling
Clients Money 
PI 
Part 3 - Firm Registration
Advertising
Solvency 
Incapacity of sole practioner
Designation
Information 
Co-operation
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
35
Q

How many firms are RICS registered

A

More than 10,000

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
36
Q

Benefits of being RICS registered

A

Confidence and transparency

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
37
Q

When is a firm required to register for RICS

A

When more than 50% of members are RICS members

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
38
Q

What is required for firm to be regulated by RICS

A

Adequate PII
Complaints Handling Procedure
Training programme for employees

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
39
Q

What is the cost of registering a firm

A

no cost

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
40
Q

How can the disciplinary procedure be triggered?

A

Someone complaining to RICS
Allegation by a client or third party
Because of information received by the RICS

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
41
Q

What rules govern the RICS discipline?

A

Regulatory Tribunal Rules

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
42
Q

When were the rules for firms and members updated?

A

2020 to reflect the new Regulatory Tribunal Rules

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
43
Q

What discipline processes are there?

A

Fixed penalty reviewers (Head of Regulation)
Regulatory Tribunal (made up of the following)
Disciplinary Panel
Registration Panel
Appeal Panel

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
44
Q

What does the disciplinary panel do?

A

Hears disciplinary cases

45
Q

What does the registration panel do?

A

Reviews decisions relating to the registration or members

46
Q

What does the appeal panel do?

A

Hear appeals arising from disciplinary and registration panel decisions?

47
Q

What does the fixed penalty reviewer do?

A

Review administrative decisions to issue Fixed Penalty Notices

48
Q

What is a fixed penalty

A

a caution or a fine for breaching the rules; rule 6, rule 8, rul14, rule 10 (registration)

49
Q

What are regulatory compliance orders

A

For breaches in Rules of Conduct - used where member admits the breach and is willing to cooperate with RICS

  • Refrain from certain actions for a period of time
  • Pay a fine if appropriate
50
Q

What sanctions can the disciplinary and appeal panel enforce?

A 
Caution
Reprimand
Fines
Conditions of continued membership 
Conditions of firm's registration 
Expulsion of member
Removal of firm's registration
51
Q

What penalties are there for CPD breaches

A

First breach - fixed penalty (caution)
Second breach within 10 years of caution - fixed penalties (caution and fine)
Third breach within 10 years of caution - presumption of expulsion

52
Q

What must be included on a firm’s annual return?

A

Type of business and staffing details
Statutory regulated activities
Nature of clients
Complaints handling procedure details and records
Professional indemnity insurance details
Whether firm hold’s clients money

53
Q

What types of RICS material are there?

A 
Practice statements 
Guidance notes
Codes of practice
Information papers
Help sheets
Consumer guides
54
Q

What is crucial in fee negotiations?

A

Do not undercut
Do not collude
Must be market based
If a fee cut is asked for should adjust the scope of work as required.

55
Q

What must be considered in regards to Referral Fees

A

Could be misconstrued as a bribe

Best to agree how these will be treated up front in TOE

56
Q

What are the steps before taking on any job?

A
  • Check competent
  • Carry out AML checks as necessary
  • Carry out conflict checks
  • Confirm ToE and get these signed
57
Q

Why might you decline an instruction?

A
  • Not competent
  • Client won’t sign ToE
  • Client won’t complete AML checks
  • There is a conflict of interest
  • PII insurance cap cannot be agreed
58
Q

What is a conflict of interest?

A

A situation which may compromise your ability to be objective and impartial?

59
Q

Examples of a conflict of interest?

A

Financial interest
Personal interest
Acting on both sides of the transaction
Other parties in your firm acting on the same property

60
Q

How to handle conflicts of interest?

A
  1. Conflict avoidance
  2. Informed consent
  3. Conflict management
61
Q

When might you adopt conflict avoidance as a solution to a conflict of interest?

A

Where it is not possible to properly manage the conflict

62
Q

How do you receive informed consent?

A

Disclose nature of conflict to both parties
Set out proposals of how will manage conflict
Inform to seek independent advice as required
Request written confirmation

63
Q

How can you manage conflicts?

A

Information Barriers
Separate support staff
Physically seperated
Password protected files

64
Q

Who oversees conflict processes?

A

Firm’s compliance officer

65
Q

What RICS guidance is there for conflicts of interest

A

RICS Professional Statement on Conflict of Interest 2017

66
Q

What types of conflict of interest are there?

A

Party Conflict
Own Interest Conflict
Confidential Information Conflict

67
Q

Can members provide incremental advice?

A

Yes if consent is given and an information barrier in place

68
Q

What legislation deals with bribery?

A

Bribery Act 2010

69
Q

What are the 4 offences under the bribery act?

A

Giving a bribe
Receiving a bribe
Bribing a foreign official
Not having systems in place to prevent bribery

70
Q

What principles is the Bribery Act based on?

A 
DR PT MC
Due Diligence 
Risk Assessment 
Proportionality 
Top Level Commitment 
Monitoring and review 
Communication
71
Q

What must you do if gifts/hospitality are offered?

A

Register in the gifts/hospitality register

72
Q

Who polices the Bribery Act

A

The Serious Fraud Office

73
Q

What penalties are there for bribery?

A

Individuals - max 10 years in jail and or unlimited fine

Company - unlimited fine

74
Q

What are the 3 areas of offence under the Proceeds of Crime Act 2002?

A

Tipping off someone who is under suspicion
Assisting a criminal obtain hide or invest funds
Failing to report knowledge or suspicion

75
Q

How do you report money laundering?

A

Report via Money Laundering Reporting Officer to the National Crime Agency

76
Q

What legislation covers money laundering?

A

Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017

77
Q

What is money laundering?

A

When proceeds from criminal activities are disguised or converted and then realised in legitimate assets

78
Q

What must companies do in relation to money laundering?

A
  • Have a written money laundering and terrorist financing risk assessment
  • Have internal controls
  • Staff training
  • Comply with DD requirements
  • Appropriate record keeping
79
Q

What are the 3 levels of money laundering due diligence?

A
  • Simple DD
  • Customer DD
  • Enhanced DD
80
Q

What does Simple DD entail?

A

Lowest form of DD - not done in property

Where there is low risk of money laundering

81
Q

What is required for Customer DD -publicly accountable body?

A

Evidence of government ownership/control

82
Q

What is required for Customer DD - public limited company?

A

Stock exchange listing

83
Q

What is required for Customer DD - private limited company

A 
Full name
Registered number 
Registered address
Name of all directors
Name of all shareholders with 25% or more holding
Identify if is a high risk client
84
Q

What is required for Customer DD - private individual

A

Valid passport or driving licence

Proof of address not more than 3 months old

85
Q

What is enhanced DD

A

Where additional procedures are required for High Risk countries or PEPs

86
Q

When do you have to carry out money laundering checks for a commercial tenant?

A

Where in any month of the term more than £10,000 is paid in rent

87
Q

How to report money laundering?

A

Report to the National Crime Agency by submitting a suspicious activity report?

88
Q

Who issues money laundering penalties

A

HMRC

89
Q

What money laundering penalties are there?

A

Assisting with money laundering - max 14 years prison and unlimited fine

Tipping off a person - max 5 years prison and unlimited fine

90
Q

What CPD is required by RICS

A

When qualified need 20 hours a year with at least 50% formal CPD

91
Q

What is formal CPD

A

Structured training with clear objectives?

92
Q

What is the RICS recommended complaints handling procedure?

A

Acknowledge in writing complaint within 7 days

Investigate complaint within 28 days

93
Q

What is CBRE’s complaints handling procedure?

A

Notify compliance officer
They will acknowledge in writing complaint within 7 days
Investigate complaint within 20 days

94
Q

What if a complaint cannot be settled through investigation?

A

ADR - Third Party

95
Q

What are the 3 options for ADR with regards to complaints?

A

The Property Redress Scheme
RICS Dispute Resolution Service
The Centre for Dispute Resolution

96
Q

What is the permissable margin for error for valuations according to case law?

A

K/S lincoln vs CB Richard Ellis 2010

  • standard residential +/- 5%
  • commercial property +/10%
  • more complicated commercial property +/-15%
97
Q

When do claims arise?

A

When a duty of care has been breached and there has been a loss

98
Q

What is PII

A

There to protect surveyors and third parties against negligence claims

99
Q

What are the minimum PII requirements

A

Turnover
Less than £100k - Min = £250k
£100k-£200k - Min = £500k
£200k + - Min = £1m

100
Q

What is the maximum level of uninsured excess required by RICS

A

Liability Cap

  • less than £500k = greater of 2.5% of sum insured or £10,000
  • more than £500k = 2.5% of sum insured
101
Q

What runoff cover is required?

A

Consumer claims - minimum £1m for minimum of 6 years

Commercial claims - what is reasonable for minimum 6 years - often better for 15 years.

102
Q

What does the RICS offer for firms that cannot obtain run-off cover?

A

RICS run-off pool

103
Q

What does the RICS offer for firms that can’t arrange PII cover

A

RICS assigned risks pool

104
Q

What is the member’s support service (MMS)

A

scheme run by RICS for members who face claims for work carried out by an employer who has gone into administration.

105
Q

What is CBRE’s general liability cap

A

lower or £20m or 25% of market value

106
Q

How do you deal with client money?

A 
Keep client accounts seperately
Word client must be on the account
Keep accurate records
Only withdraw if properly required
2 signatories are required for actions with clients money
107
Q

What RICS scheme is in place where firms cannot repay client’s money

A

RICS Clients Money Protection Scheme

108
Q

What is required to set up a new practice

A

Notify the RICS through firm detail form
Arrange PII cover
Set up procedure for handling client’s money
Set up complaints handling procedure and appoint Complaints handling officer
Ensure statutory compliance too

109
Q

How to close a practice?

A 
Notify RICS
Notify Clients and arrange handover to new firm
Return client money
Arrange PII run off cover
Retain records for minimum of 6 years

HN APC (10 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions