Ethics, rules of conduct and professionalism

Question 1

What does RICS stand for?

Answer 1

Royal institution of Chartered Surveyors

Question 2

When was the RICS founded?

Answer 2

1868

Question 3

Who is the president of the RIC?

Answer 3

Tina Paillet

Question 4

What is the RICS Moto?

Answer 4

There is measure in all things

Question 5

What are the benefits of being an RICS member?

Answer 5

• Status – provides client confidence
• Recognition – promotion of your professional excellence to governments and markets
• Market advantage – RICS status and standards give you a competitive advantage
• Knowledge – access to professional guidance, cpd and knowledge
• Network – over 130,000 members

Question 6

What are the 5 rules of conduct?

Answer 6

Members and firms must
* 1 - be honest, act with integrity and comply with their professional obligations, including the RICS
* 2 - ensure they are maintain their professional competence and ensure services are provided by competent individuals with necessary experience
* 3- provide good quality and diligent service
* 4 - treat others with respect and encourage diversity and inclusion
* 5 - act in the public interest, take responsibility for their own actions, act to prevent harm and maintain public confidence in the profession

Question 7

Abbreviated Rules of conduct?

Answer 7

• Act with integrity and comply with their profession obligations
• Ensure to act within their competency
• provide good and diligent service
• Promote Diversity and Inclusion
• Take responsibility and promote trust within the profession

Question 8

Why were the rules amended?

Answer 8

• Consolidate the seperate members and firms rules of conduct
• One single document to provide clarity
• Clearer examples of behaviours, understanding of technology and tackling climate change

Question 9

What’s included in the new rules?

Answer 9

The new rules will provide:
* Create a clear structure.
* To focus on diversity, respect and inclusion
* To cover evolution of data and technology
* To highlight their role when it comes to global challenges.

Question 10

In case of a breach in a rule of conduct, what can happen?

Answer 10

• Not every shortcoming leads to proceeding
• The head of regulation will carry out a formal investigation
• They can request information/visit and inspect to investigate compliance
• Members must co-operate with all enquires

Question 11

What are the actions imposed after an investigation?

Answer 11

• Financial penalty
• Disciplinary panel
• Consent order

Question 12

When is disciplinary proceedings triggered?

Answer 12

• When the RICS receive a complaint
• When the RICVS are provided with information
• When an allegation is received by a client or third party

Question 13

What should be included in a complaints handling procedure?

Answer 13

The RICS provide a model form
* Must provide a redress mechanism
* Details of the policy should be issued to client
* It must be clear, quick, transparent and free of charge at the first stage
* Must include details of the nominated investigating person
* Must be investigated within 28 days
* All complaints must be recorded
* Note the requirement to advise PI insurers

Question 14

When a complaint is received I would:

Answer 14

• Acknowledge receipt
• Forward to the firms designated complaints handler
• Highlight the importance of informing our PI insurers

Question 15

What do you understand of a conflict of interest?

Answer 15

• A conflict of interest is when you have a personal or profession interest making it difficult fulfil your duties and to stay impartial
• A COF could also take place when an existing relationship is in place which could result in reduced impartiality

Question 16

How would you manage a conflict of interest (COI)?

Answer 16

• If it is a personal profession interest – then I would step away
• However, dealing with a client COI:
  o Obtain approval from both parties
  o Ensure there is an information barrier
  o Ensure separate communication lines
  o Could sign confidentiality or non-disclosures
  o Monitor and ensure both parties are kept up to date

Question 17

What are the professional obligations of members?

Answer 17

• Publish a complaints handling procedure
• Ensure all professional work is covered with the appropriate PII cover
• Cooperate with the RICS
• Promptly provide all information reasonably requested by the standards and regulations board

Question 18

What is run off cover?

Answer 18

Insurance cover that protects individuals when a business no longer exists

Question 19

Run off Cover brackets:

Answer 19

• Up to 100,000 - £250,000
• Up to 200,000 - £500,000
• Above 200,000 - £1,000,000

Question 20

Case law surrounding run off cover?

Answer 20

• Merrit v Babb
• Client successfully sued an individual because company no longer existed

Question 21

How long after work undertaken can a claim be made?

Answer 21

15 years

Question 22

Why is PII cover important and how do you calculate the level of cover required?

Answer 22

Provides financial cover should the company face suffer financial loss due to negligence, error or omissions
Minimum Cover
* The firms cover is based on their turnover:
* T= £100,000 or less C= £250,000
* T=up to £200,00 C=500,000
* T=£200,000 or above C = £1,000,000
Maximum level of uninsured excess
* T= £10,000,000 or less E = higher of 2.5% or £10,000
* T= £10,000,000 or above E = no limit set

Question 23

What is CPD?

Answer 23

Continued Professional Development

Question 24

What are the CPD Obligations

Answer 24

• 20 hours per calendar year, at least 10 hours formal
• Informal: Non-structured, self-training
• Formal: structured training, with a clear earning outcome.

Question 25

What is the difference between a gift or bribe?

Answer 25

* A gift is something given without any expectation of return, and is not payment for previous service. * A bribe is a payment made or offered to a public official for them to do, or not do, an official act.