Ethics

Question 1

Can somebody tell me one of the new ethical standards

Answer 1

Honesty
Integrity
Service
Respect
Competent
Responsibility

Question 2

Give me an example of how you have acted with integrity

Answer 2

Declining a gift

Question 3

When is it appropriate to decline a gift? Or accept a gift?

Answer 3

Whether its proportional and follows company gift policy

Question 4

What does it mean to be proportional?

Answer 4

Proportionally means each case is individual – you’ve been working on a project for a long time an secured a very good result. Something that is slightly above and beyond the limit, may be considered acceptable

Question 5

What are other grounds for accepting the gift?

Answer 5

If its reciprocal, generally speaking its ok.
If it’s not specific to you and offered to a number of people

Question 6

Assuming you’re successful today and want to set up your own firm as a chartered surveyor, what do you have to do?

Answer 6

Register with RICS
PII
Locum
Complaints handling procedure
Client money handling procedure

Question 7

What are the required insurances?

Answer 7

Professional indemnity insurance cover
Locum

Question 8

What does a Locum actually do?

Answer 8

Legally binding agreement whereby the client is protected and the locum can look after the business by a competent person

Question 9

Who is PII cover there to protect?

Answer 9

Ourselves
Our Clients

Question 10

What are the requirements for handling Client money?

Answer 10

Keep Client money in a separate account with the Clients name in the account name
Let Clients know as soon as you have received Client money and ensure that it is immediately available. Let them know the bank details
Have in writing confirmation from the bank that Client money is not to be transferred or combined
Keep a record of all dealings

Question 11

What is the appropriate timescale for acknowledging and responding to a complaint?

Answer 11

7 days to acknowledge and 28 days to respond

Question 12

If you were to draw up a complaints handling procedure, can you be your own complaints handling officer as a sole practitioner

Answer 12

Yes, but also need to have ADR

Question 13

What ADR is available for complaints

Answer 13

CEDR
Property Obudsman
The RICS DRS
The Property Redress Scheme

Question 14

What disciplinary procedures are available to RICS members?

Answer 14

Reprimand
Caution
Undertaking – Condition imposed
Regulatory compliance order
Suspension
Fine
Expulsion
Disciplinary hearing

Question 15

What are the potential sanctions if you’ve been found to breach the ethical standards

Answer 15

Caution
Reprimand
Fine
Suspension
Expulsion

Question 16

What is a reason for expulsion?

Answer 16

Persistent breach of regulations
I.e persistent breach of CPD requirements, failure to adhere to PII, paying membership fees

e.g somebody was a member of RICS, left their firm and hadn’t updated their email address on RICS. Requests for membership fees were not being received. They got expelled. Disciplinary panel reinstated as they paid in full once found out.

Question 17

What is minimum CPD for qualified

Answer 17

Minimum 20 hours, 10 formal 10 informal

Question 18

How might you have a conflict of interest – give an example

Answer 18

As a managing agent, we might be managing a property whereby one client is selling a property to another one of our Clients
Conflict requires management – not something that can be declined. Put relevant information barriers in place
Set up so that only certain users have access to certain information

Question 19

What do you need to do if you are to manage a conflict?

Answer 19

Get informed consent
information barrier

Question 20

Give an example of a conflict that cannot be managed and must be declined

Answer 20

If you can’t separate the two interests
i.e if you specifically work for both Clients. Declare the conflict, and bring in another management surveyor