Ethics, rules of conduct and professionalism Flashcards
(131 cards)
1
Q
In terms of PII insurance, what does ‘on a claims made basis’ mean
A
That it is the insurance policy that is in place at the time the breach is discovered that is claimed under, NOT the insurance policy in place when the breach was made
2
Q
What is a consent order / Regulatory compliance order?
A
- A Regulatory Compliance Order is an agreement between RICS and a Regulated Member that they are liable for disciplinary action (a Regulated Member is and RICS professional or regulated firm).
The Regulated Member:
- admits that they have fallen short of the standards expected
- agrees to an appropriate sanction
- in some cases, take steps to meet the standards expected
and/or to prevent it happening again
3
Q
Who polices the Bribery Act?
A
Serious Fraud Office
4
Q
What are the three levels of disciplinary action?
A
- Action by Head of regulations
- Disciplinary panel
- Appeal Panel
5
Q
What benefits does PII provide for the professional?
A
- The professional is protected from financial loss
- Does not have to meet the claim from their own assets and resources
6
Q
Why do you want to become Chartered?
A
- See being a member of the RICS as being the gold standard of my profession.
- The level of guidance notes and support they offer their members will allow me to better serve my clients.
- I know the RICS designation if highly valued by clients and will further my career development and opportunities.
- I am committed to life long learning, professional and personal improvement and believe the RICS will support me in achieving this.
7
Q
What is money laundering
A
Concealing the source of the proceeds of criminal activity to disguise their illegal origin.
8
Q
How have you managed a conflicts of interest?
A
I would obtain informed consent from the client and set up an information barrier.
9
Q
How long should run off cover be in place?
A
Depends on the type of contracts the professional has been involved with
- Usually 6 years if contract executed under hand
- 12 years if executed as a deed
10
Q
Why register for regulation if it is optional?
A
Demonstrates that you:
- practice to globally recognised standards
- behave ethically and act with integrity and honesty
- Have the required skills and competence to do the job
- Manage conflicts of interest transparently
- Safeguard the security of clients money
- Manage your finances appropriately
- Provide adequate and appropriate indemnity for the work that you do
- Handle complaints and disputes fairly
11
Q
What is your general view on providing gifts and hospitality?
A
Nothing wrong providing it is within the agreed limits as per my company’s AML policy and that all gifts received are inputted into my company’s gift register.
12
Q
What is the purpose of the rules of conduct for members/firms?
A
The Rules provide a strong foundation for RICS, its professionals, and the firms it regulates, helping to protect the public and uphold the reputation of the profession.
The Rules of Conduct demonstrate to clients, consumers and the public the high professional standards that RICS professionals and firms work to. Being able to show that you are a qualified RICS professional or that your firm is regulated by RICS provides independent external confidence.
13
Q
What is a byelaw?
A
The laws that govern the institution
14
Q
What is the definition of an inclusive environment?
A
An inclusive environment is a safe space in which integration of diverse experiences and perspectives can freely coexist. It’s a place where people feel respected by and connected to each other.
15
Q
What is the structure of Countering bribery and corruption, money laundering and terrorist financing 1st edition, February 2019
A
- A professional statement setting out mandatory requirements for anti-bribery and corruption and for anti-money laundering and terrorist financing.
- A guidance note setting out supporting good practice for anti-bribery and corruption and for anti-money laundering and terrorist financing.
- Supplementary guidance on some of the concepts described in parts 1 and 2.
16
Q
Why do you not accept expensive gifts from clients?
A
The gift could have be misconstrued as an advantage
17
Q
What is the difference between formal and informal learning?
A
Formal: web based training with structured assessment, formal seminars, providing training to others where research and preparation is required.
- Informal: private reading, internal CPD’s, shadowing /
mentoring trainee
18
Q
Can you tell me the 5 Globas & Ethical Standards?
A
1 - Act with integrity -
Honest, open, transparent, conflict of interest
2 - Always provide a high standard of service -
Provide best advice, support or performance to whom you have a professional
Responsibility
3 - Always act in a way that promotes Trust in the profession -
Act professionally and positively in both private and professional settings
4 - Treat others with respect - Courtesy, politeness, be aware of cultural sensitivities
5 - Transparency - Be accountable
19
Q
If you suspected a client of money laundering, what would you do?
A
Notify the Money laundry Monitoring officer within my organisation
20
Q
When was the RICS established?
A
Royal Charter was granted on 26th August 1881
21
Q
How do you provide a high standards of service?
A
I give my clients the best possible advice
22
Q
What is an anti-money laundering check?
A
An identity assessment to ensure all purchasers etc are who they claim to be, and are not investing on behalf of somebody else.
23
Q
What law relates to anti money laundering?
A
Anti-Money Laundering regulations 2017
24
Q
Who polices money laundering regulations?
A
HMRC
25
What is the latest RICS business plan?
The RICS Covid 19 recovery business plan 2020/2021. This replaces the former RICS business plan 2018-2021
26
Name me a professional standard
RICS Valuation- Global Standards (2020)
27
What steps must you take for handling clients money
- clients must always have access to the funds
- client account must always be separate and clearly identifiable
- account must have the word 'client' in the name
- interest on the account must be agreed with the client
- Must maintain a client ledger or running balance of all transactions
- agree the terms and advise client on bank details
- account can never be overdrawn
28
What is the central purpose of the RICS?
1. To maintain the highest standards of education and training
2. To protect consumers through the strict regulation of professional standards
3. To be the leading source of information and independent advice on land, property construction and associated environmental issues
29
What are the minimum levels of indemnity? / How do you determine the level
of PI cover?
Depends on the firms turnover:
- If turnover is £100k or less it is £250k
- If turnover is £100 - £200k it is £500k
- If turnover is above £200k it is £1m
30
Can members use the RICS Logo
Yes, on personal website, business cards and email signatures.
31
What is money laundering?
Is the process of making illegally-gained proceeds (i.e., "dirty money") appear legal
32
Tell me about Merrett v Babb?
Court case in 2001
- Babb had done a valuation as an employee of a company for a house purchased by
Merrett
- Valuation later found to be negligent
- The original company no longer existed
- Court ruled Merrett could pursue the individual – Babb – for the losses
- Big shock in the industry
33
A client offers tickets to the races what would be your response?
Depends on whether it is furthering a working relationship or it is being offered in a time whether tendering in being undertaken. My default position would be to decline if I felt it compromises my ability to make an informed decision without compulsion.
34
How do you have regards for the rules for members
Ethical behavior- I avoid conflicts of interest and act responsibly inside and outside of work.
Competence- I carry out my work with due skill and care and in line with technical standards.
Service- I provide a good professional service to my internal clients and assist where necessary.
CPD- I have carried out the required amount CPD
Solvency- I keep my professional and personal finances appropriately managed.
35
What is the current president of the RICS up to?
The top 5 priorities of the new President are:
1. Building back better - building confidence in society’s efforts to mitigate and adapt to climate change.
2. Data and technology - supporting standards adoption, thought leadership and market insight to ensure a consistent and ethical approach to data and governance.
3. Professionalism - looking at how we can ensure that the profession is equipped with the skills, competencies and behaviours to remain relevant and sustainable and what we can do collectively to foster public confidence in the profession as a custodian of the built and natural environment.
4. the future of the workplace - Our vision is to ensure that workplaces can face their present challenges and are fit for future generations.
5. Diversity and inclusion - promoting inclusiveness to reflect the needs and experiences of the diverse societies we serve.
36
What are the levels of members?
- Student Member
- Associate Member of RICS
- Member of RICS
- Fellow of RICS
37
What is a bribe and what are the 5 offences?
Something given in expectation of a change in behaviour
1. Giving a bribe
2. Taking a bribe
3. Bribing an official
4. Bribing a foreign official
5. Not having measures in place to prevent bribery
38
Name me two guidance notes
1. Commercial Property Service Charge handover procedures, 1st edition
2. Complaints Handling, 1st edition, 2016
39
What is bribery
An advantage offered or given in expectation of a change in behaviour
40
How do you become a Fellow of the RICS
Three core principles at the heart of being an RICS Fellow:
1. acting to further RICS and the profession
2. acting for the benefit of a third party to reflect RICS’ public interest mandate
3. promoting RICS objectives and the profession.
41
What do you need to do to close down a practice ?
```
Inform the RICS
Keep clients informed
Return client monies within your firm
Inform insurers (Run off cover for 6 years)
Retain files for 6 years minimum
```
42
What are the time limits for professional negligence claims ?
Under the Limitation Act 1980 these are:
The applicable limitation period in most professional negligence cases is six years from the date of the negligence.
However, this may be extended where the negligence only becomes apparent at a later stage. In those cases the relevant limitation period is three years from the date of knowledge of the facts which might give rise to a claim.
There is a long stop date of fifteen years within which claims must be brought.
43
What is the RICS Motto?
Est modus in rebus - there is measure in all things
44
What penalties can the disciplinary panel impose?
1. Issue a compliance order
2. Impose an unlimited fine proportionate to the offence
3. Impose conditions upon future continued RICS registration
4. Expulsion from membership or remove firm
5. Require publication on website and modus
45
What are the key principles of the Bribery Act?
1. Proportionality - The action taken should be proportionate to the risk and the size of the organisation.
2. Top level commitment - Those in senior positions are best placed to ensure the organisation conducts business without bribery.
3. Risk Assessment - Many organisations will have little or no risk of bribery but a risk assessment will show the nature or extent of exposure to bribery.
4. Due Diligence - This is about having a risk based approach to business relationships - with those you deal with or who provide services for you.
5. Communication - Employers will need to communicate their policies and procedures to staff and others who perform services, additional training may help raise awareness, and this would be proportionate to the size and type of organisation.
6. Monitoring and Review - Risks to your organisation may change, over time you may want to carry out regular reviews and re-assessments.
46
Explain the potential implications of the Hart v Large case.
Surveyors can be considered negligent for not recommending further investigation is required or that a full building survey is requried.
Surveyors should therefore:
- Continue to keep your advice under review and consider the type of property and RICS guidance when recommending a survey;
- Be mindful of your duty to recommend a full Building Survey where necessary (and record that you have done so);
- Ensure you report anything that has not been inspected with an explanation as to why. This is particularly important at the moment, when surveyors are being required to undertake inspections that may be limited due to the restrictions in place due to the COVID-19 pandemic;
- Consider the appropriateness of recommending a professional consultant’s certificate which could ultimately protect both the surveyor and the purchaser.
47
How would you deal with a situation such as a friend asking you to provide them with surveying advice?
- cannot give advice on your own without PII cover in place
- if I had my own PII in place, ensure the information given was subject to the thorough checking process given to all information before issue, regardless of who it was to.
- if not comfortable acting for them, refer them to RICS find a surveyor scheme
- always adhere to the RICS rules of conduct
48
How do you promote trust in the profession?
By acting responsibly in my professional and personal life.
49
What basis should PII be underwritten?
On a claims made basis
50
What is the significance of the Merrett vs. Babb case?
- Considered if a professional employee was vulnerable to claims brought directly against them for advice given on behalf of their employers
- Highlights importance of run off cover
- Professional individuals and firms must ensure that run off cover is in place after they leave or their firm’s employment or a firm ceases trading
- Individuals should ensure that their ex company keeps up this cover on their behalf
51
How do you act with integrity?
I am open and transparent in all my dealings, in my professional and personal life.
52
What is included as part of a companies annual return ?
```
Type of business
Statutory regulated activities
Nature of clients
CHP details and records
Professional indemnity insurance details
Whether the firm holds client money
```
53
How many faculties or professional groups are there in the RICS?
18 groups to include:
- Commercial Property
- Residential Property
- Valuation
- Planning and Development
- Project Management
- Building Surveying
- Facilities Management
54
Do you physically register the gift and hospitality yourself?
Yes, all gifts received must be entered into the gifts register
55
What are the benefits of Joining the RICS
```
Status
Recognition
Market Advantage
Knowledge
Network
```
56
What are the international ethics standards?
```
Accountability
Confidentiality
Conflict of interest
Financial responsibility
Integrity
Lawfulness
Reflection
Standard of service
Transparency
Trust
```
57
How do you treat other with respect?
I treat everyone with courtesy, politeness and understand/consider cultural sensitivities
58
What are the requirements regarding PI by the RICS?
Must be made on an ‘each and every’ claim basis
- Gives min wording
- Sets out minimum levels of indemnity
- Sets out maximum levels of uninsured excess
- Run off cover must be in place for at least 6 years
- Should include cover for past and present employees, directors and partners
59
What are the principles of money laundering regulations 2017?
The MLR 2017 sets out the additional obligations of private sector firms working in areas of higher money laundering risk. They aim to stop criminals using professional services to launder money by requiring professionals to take a risk-based
approach.
60
How many hours CPD are member required to do?
20 hours minimum
10 must be formal (have a verifiable learning outcome)
61
How many rules of conduct for members are there?
There are 9:
1. Interpretation
2. Communication
3. Ethical
4. Competence
5. Service
6. CPD
7. Solvency
8. Information to the RICS
9. Co-operation
62
What is the RICS Ethics Tree used for and can you give me a few of the questions within it?
It is a tool used when faced with an ethical dilema.
1. Would you be content for your actions to be made public
2. Is it legal ?
3. is it in line with the RICS ethical and global standards ?
63
Which 3 of the Global Standards resonate with you the most?
- Always provide a high standard of service - always providing the best possible advice, support or performance to whomever I have a professional responsibility
- Acting in a way that promotes Trust in the profession- always acting professionally and positively in both professional and private settings.
Treating others with respect - always having courtesy , being polite and being aware of any cultural sensitivities.
64
When was the new Professional indemnity insurance requirements effective
1st May 2020
65
What legislation governs the receiving of gifts/hospitality in exchange for services?
Bribery Act 2010
66
If you were bidding for work and a client approached you and said you can have the job but you need to beat the current best price of a competitor of £12,000, what would you say?
- Unfair competition
- Not acting with integrity
- Not treating other surveying firms with respect
- Can you offer the required level of service for a reduced fee
- Devaluing the profession
- Not a sustainable way to operate
- This is a form of a bribe
- Business should not be conducted in this manner
67
What is the correct name for the Red Book?
RICS Valuation Global Standards
68
What are the stages of money laundering?
1. Placement
2. Layering
3. Integration
69
What is the purpose of Professional Indemnity Insurance?
To provide financial cover in the event a client suffers financial loss as a result of a breach of professional duty e.g. neglect, error or omission
70
What are the key changes to RICS Governing structure?
1. A new governing council have been elected with professionals from 12 global regions and 6 strategic areas of the profession. The new interim chair is Chris Brookes FRICS
2. A new standards and regulatory board has been established with the chair and a majority of members being independent from the profession. The role of the board is to provide assurance across all RICS standards and how they are enforced globally
71
Why must chartered members do CPD?
1. It is a requirement of the rules of conduct for members 2020.
2. Ensures you remain up to date with the relevant legislation and changes in the industry.
72
When do firms need to register for regulation ?
A Firm is required to register for regulation by RICS if:
a the Firm provides surveying services to the public;
b the Firm is operating in Regulated Area A;
c at least 50% of the Firm’s Principals are RICS Members
A Firm is eligible to register for regulation by RICS if:
a the Firm provides surveying services to the public; and
b at least 25% of the Firm’s Principals are RICS Member
73
How do you keep up to date with current affairs and topical issued on the industry?
- RICS website and journals
- My employer send a monthly digests of the relevant press and articles of interest
- Exchange of information with colleagues.
- Regular web search on key topics relevant to field of activities
74
What due diligence would you carry out on a publicly listed company?
Check London Stock Exchange Listing
75
Would you accept a gift or offer of hospitality from someone in a work capacity?
- Would depend what the gift is
- gifts are considered as part of business but can be considered a bribe, so I would sense check against the Bribery Act 2010.
- If the gift was reasonable and of a nominal value, I could potentially accept it and record it in my firms gift register
76
What are the penalties of the MLR
Up to 14 years in prison or an unlimited fine for assisting with money laundering
Up to 5 years prison sentence and unlimited fine for tipping off a person
77
If you put together a fee proposal, but a couple of months into the job you realise that you have under forecasted your resources, would you go back to the client and ask for more money?
- If project requirements (services, scope, value) have
increased, then would go back to client for more fees
- But if remained the same, it is a mistake so deal with it and get it right next time.
- Do not reduce level of service you offered originally.
78
What must registered RICS firm display?
Regulated by RICS
79
Why does the RICS have rules of conduct
- to provide a framework that we are all working to and clients know that they will be getting a set level of service
- As well as being an important tool, it serves as a professional guide for individual institutional members
80
What legal act protects people in the workplace?
Equality Act 2010
81
What is the The 5th anti-money laundering directive
Action Plan to tackle the use of the financial system for the funding of criminal activities, terrorist financing and the large‑scale obfuscation of funds.
82
What steps would you need to take when setting up a practice?
- Inform Rics
- Appoint a contact officer
- Arrange professional indemnity insurance
- register with RICS for regulation
- Have a complaints handling procedure in place
- set up a client account for handling clients money
- Set up staff training and CPD
83
How would you deal with a conflict in interest?
Obtain informed consent
Reject the instruction
Information barrier
84
What are the money laundering offences?
1. Assisting with money laundering
| 2. Tipping off a person that they are suspected of money laundering
85
Who is the president of the RICS?
Kathleen Fontana
86
Who is the senior Vice President
Clement Lau
Ann Gray (Winter 2020)
87
When you take on a new client, what checks do you do?
CDD - customer due diligence to identify the client and verify their identity. If the client is a PEP (politically exposed person), a PEP family member/business associate or from a high risk third country, then you should undertake Enhanced Due Diligence (EDD)
88
Tell me about how RICS expects insurance claims to be dealt with ?
If a person turns over less than 100k and their PI insurance is 250k, the insurance must cover each client on a per claim basis of up to 250k which is per claim and per year.
89
If you can't get run off cover, what options do you have?
Run off pool
90
What professional statement deals with Bribery, corruption, money laundering and terrorist financing?
Countering bribery and corruption, money laundering
and terrorist financing 1st edition, February 2019
Effective September 2019
91
What are the RICS Bye-Laws?
1) Application and Definitions
2) Membership and Registration
3) Designations
4) Contributions to Funds
5) Conduct
6) Governing Council, Officers & Staff
7) Subordinate Boards, Committees and Groups
8) Procedure for General Meetings
9) Accounts & Audit
10) General
92
What measures should be taken to try and avoid PI
| claims?
Keep full and detailed records of meetings, conversations etc
- Record recommendations and advice given
- Use proper letters of engagement, scope of services and
terms of engagement
- Don’t advise on a specialism outside your field of experience
- Use RICS guidelines
- Avoid poor management and excessive workloads
93
What is the definition of Tipping off ?
Tipping off broadly means telling or letting a client or some third party know that a report has been made to a local crime agency and/or that there is an investigation ongoing.
94
How do you take responsibility?
I am always accountable for my actions
95
What is a professional statement
It sets out the requirements of practice for RICS members and firms that are regulated by RICS
96
What is informed consent?
Consent given willingly by a party who may be affected by a Conflict of Interest.
97
What is the latest version of the rules of conduct for members and firms?
Version 7 effective March 2020
98
What does integrity mean?
Being open, honest and having strong moral principles
99
What sort of information do firms have to send to the RICS?
It is called an annual return and it is done online. Failure to do so leads to a fixed penalty.
- type of business and staffing levels
- nature of clients you are dealing with
- training provisions
- complaints handling procedures details and records
- professional indemnity details
- whether the firm holds any client money
100
What is the new structure of the rules of conduct
- 5 simple rules for all
1. Members and firms must be honest, act with integrity and comply with their professional obligations, including obligations to RICS.
2. Members and firms must maintain their professional competence and ensure that services are provided by competent individuals
3. Members and firms must provide good quality and diligent service
4. Members and firms must treat others with respect
5. Members and firms must act in the public interest, take responsibility for their actions, and act to prevent harm and maintain public confidence in the profession
- 3 mandatory obligations to RICS for members:
1. Members must comply with the CPD requirements set by RICS
2. Members must co-operate with RICS
3. Members must promptly provide all information reasonably requested by the Standards and Regulation Board, or those exercising, delegated authority on its behalf.
7 mandatory professional obligations for firms:
1. Firms must publish a complaints handling procedure, which includes an alternative dispute resolution provider approved by RICS, and maintain a complaints log.
2. Firms must ensure that all previous and current professional work is covered by adequate and appropriate professional indemnity cover that meets the standards approved by RICS.
3. Firms with a sole practitioner must make appropriate arrangements for their professional work to continue in the event of their incapacity, death, absence from or inability to work.
4. Firms must cooperate with RICS
5. Firms must promptly provide all information reasonably requested by the Standards and Regulation Board, or those exercising, delegated authority on its behalf.
6. Firms must display on their business literature, in accordance with RICS' published policy on designations, a designation to denote that they are regulated by RICS.
7. Firms must report to RICS any matter that they are required to report under the Rules for Registration of Firms.
101
What are the three types conflict ?
1. Party - duty to one client conflicts with a duty to another client
2. Own - duty to a client conflicts with my own interests or that of my firms
3. Confidentiality - a duty to provide info to one client that another client has asked to be kept confidential.
102
What is a fixed penalty?
An administrative fine and/or caution issued by
RICS when a Regulated Member fails to provide
information that the RICS have requested. ... Any fixed penalty issued and not rescinded will remain on a Regulated Member's record for a defined period.
103
What is the role of a contact officer?
Main point of contact and the person authorised by the firm to submit the firms annual return
104
What must a complaints handling procedure include?
The RICS provides a model that all members can access and can base their procedure around.
Must include:
- a redress mechanism
- details should be issued to clients with the TOB's
- it must be clear, quick, transparent, impartial and free of charge
- names and contact details of the investigation person must be stated
- The complaint must be investigated within 28 days
- All complaints, their progress and outcome must be recorded
- PI insurers should be advised of any complaint
- must have two stages as a minimum. 1st stage should be considered by a senior member of the firm or a designated complaints handler. 2nd stage should be if not resolved it is referred to an independent 3rd party with authority to award redress.
105
What are the principles of GDPR?
1. Lawfulness, fairness and transparency
2. Purpose limitation.
3. Data minimisation.
4. Accuracy.
5. Storage limitation.
6. Integrity and confidentiality (security)
7. Accountability
106
What is the purpose of the RICS?
1. The Royal Institution of Chartered Surveyors promotes and enforces the highest professional qualifications and standards in the development and management of land, real estate, construction and infrastructure.
2. The work of RICS professionals is hugely varied and includes:
• Providing best practice guidance to industry professionals
and governments
• Influence best practice in industry working policies
• Protecting consumers and businesses
• Developing assets in the built environment so they are fit for future generations
107
What is new on the Professional indemnity insurance requirements?
Fire safety exclusions
108
What are the main purposes of holding PII
The firm’s clients are protected from financial loss that a firm cannot meet
•The firm or insured member is protected against the ‘consequences of its liability to pay damages to third parties for breaches of professional duty that it commits through its professional activities’
109
How do you deal with Anti money laundering?
Ask customer for proof of address and up to date ID
Carry out due diligence on the customer
If an issue is spotted then report this to the Anti money laundering reporting officer to log a suspicious activity report
110
What is the governance structure of the RICS
1. Privy council - grants and awards royal charter. The royal charter requires members to promote the profession for the public benefit
2. Governing council - management and strategy of the RICS
3. Regulatory Board - audit committee and management Board
111
What is double dipping ?
Double dipping, double running or dual agency is the practice of acting for multiple parties, usually when undertaking investment work in the property industry, often for both buyer and seller or multiple buyers
112
Name me two professional statements
Conflicts of interest 1st edition 2017
| RICS Service charges in commercial property, 1st Edition 2018
113
What are the RICS 5 principles for better regulation?
1. Proportionality - penalty proportionate to breach
2. Accountability - to members & public
3. Consistency - Treating all members the same
4. Targeting - serious breaches
5. Transparency - to all members, clients and the public
114
What are the penalties of breaching the Bribery Act?
Up to 10 years in prison and an unlimited fine.
115
Why do you want to become a member of RICS?
I want the kite mark of excellence in the interest of consumer protection
116
What is on the cover of the latest copy of Modus?
Have an appreciation of this and some of the topics covered.
117
What year was the RICS started?
1868
118
What is a conflicts of interest?
A conflict of interest arises in a situation where there may be an actual, perceived or potential risk that the professional judgement of an RICS-regulated firm or member will be compromised when undertaking an assignment. The most common conflicts that arise include the following:
* A ‘party conflict’ – a situation in which the duty to act in the interests of a client or other party in a professional assignment conflicts with a duty owed to another client or party in relation to the same or a related professional assignment.
* An ‘own interest conflict’ – a situation in which the duty to act in the interests of a client in a professional assignment conflicts with the interests of that same RICS member/firm.
* A ‘confidential information conflict’ – a conflict between the duty of an RICS member to provide material information to one client, and the duty of that RICS member to another client to keep that same information confidential.
119
What are the maximum levels of uninsured excess for PII?
Depends on the level of indemnity
- Up to £500k = greater of 2.5% of insured sum or £10,000
- Over £500k = 2.5% of the insured sum
120
What is the fine for the late submission of CPD
First time a Fixed Penalty caution
Second time- £150
Third breach- Disciplinary panel
121
What are the 4 key objectives in the current business plan?
1. To be an influential thought leader, trusted by key stakeholders
2. To be a sustainable 21st century professional body.
3. To enhance RICS' Environmental Social Governance (ESG) programme
4. To grow a high performance culture
122
What actions can the head of regulations impose?
1. Serve a fixed penalty notice
2. issue a regulatory compliance order
3. issue CPD sanctions
4. Refer the matter to the disciplinary panel for consideration
123
What legislation would you have to have regard for when setting up your own company?
Companies Act 2006
124
What is Corruption?
The misuse of public office or power for private gain
125
What actions can the disciplinary panel take?
Conduct committee can serve a fixed penalty notice or make a consent order.
Disciplinary panel:
1. issue a caution against repetition of the conduct in question
2. reprimand or severely reprimand
3. require an undertaking against future conduct
4. impose a fine
5. Expel
126
How many rules for firms are there?
There are 15:
1. Definition
2. Communication
3. Professional behaviour
4. Competence
5. Service
6. Training (staff ) and CPD
7. Complaints handling Procedure
8. Clients money
9. PII (professional indemnity insurance
10. Advertising (truthful)
11. Maintaining solvency
12. Arrangements to cover death & incapacity
13. Use of designations
14. Information to the RICS
15. Co-operation
127
What does being chartered mean?
Chartered professional is a person who has gained a specific level of skill or competence in a particular field of work, which has been recognised by the award of a formal credential by a relevant professional organisation.
128
What arrangements would you make when closing down a firm?
- inform RICS
- inform clients and handover anywork to new firm
- inform PI insurers and arrange run off cover for 6 years up to £250,000 per claim
- return any client money to their account
- retain client files for minimum of 6 years
- clients own their files so make copies
129
Can you tell me about a piece of CPD you have done
| recently?
Include in your response:
- whether it was formal or informal
- What were the learning objectives
- What was the outcome
130
What are the principles of the bribery act?
1. Proportionality (most important)
2. Top level commitment
3. Risk assessment
4. Due diligence
5. Communication
6. Monitor & review
131
What is the role of a principal officer
Regulated firms must nominate an individual to be the responsible principal within the firm. The responsible principal will provide oversight and accountability for ensuring a regulated firm meets its responsibilities.
