Ethics - Practice Considerations Flashcards
What should fees be based on and agreed on with clients?
Fees should be market-based and agreed on an ad-hoc basis with clients
When can you enter into further fee negotiations with a prospective client?
You can enter into further fee negotiations with a prospective client after you have submitted your initial fee proposal, having regard to the guidelines provided, as long as you act in a professional manner
What should you consider when deciding upon a fee?
In deciding upon a fee, you should consider the amount of time and resources required, your expertise, and the ability to make a reasonable profit
What should you be transparent about with clients regarding fees?
You must be completely transparent with your clients and consumers about referral fees, if applicable, and state so in the terms of engagement
What are the THREE steps to follow in terms of engagement?
- Check professionally competent
- Ensure no conflicts of interest or personal interests
- Confirm terms of service and set clear instructions
What may be appropriate reasons to decline an instruction?
It may be appropriate to decline an instruction if:
1. You are not competent to undertake the work
2. You do not have sufficient facts on the issue
3. The proposed client will not sign your terms of engagement and/or complete AML checks
4. There is a conflict of interest or personal interest
5. A professional indemnity insurance liability cap cannot be agreed
6. The advice is for a friend or on a pro bono basis and your professional indemnity insurance will not cover the work
7. The potential client is included in the UK Government’s sanctions list
8. You would not be content for your actions to be made public
What does the RICS Ethics Decision Tree provide?
The RICS Ethics Decision Tree provides a framework for considering whether to act for a client, covering various points related to conflicts of interest and other factors
