Ethics and Mandatory

Question 1

Name some of the rules of conduct and give an example of how you have met these in your work.

Answer 1

Members and firms must be honest, act with integrity and comply with their professional obligations, including obligations to RICS.
Members and firms must maintain their professional competence and ensure that goods and services are provided by competent individuals who have the necessary expertise.
Members and firms must provide good-quality and diligent service.
Members and firms must treat others with respect and encourage diversity and inclusion.
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.

Question 2

When did the RICS Rules of Conduct come into effect?

Answer 2

2nd February 2022

Question 3

What are the Ethical Standards?

Answer 3

Act with integrity.
Always provide a high standard of service.
Act in a way that promotes trust in the profession.
Treat others with respect.
Take responsibility.

Question 4

What are the CPD requirements post-APC?

Answer 4

20 hours, of which 10 must be formal.
Recorded online.

Question 5

You say you are conscious of interacting with tenants or clients in your personal time. If a friend asks you to value their farm one night at the pub, what would you do and why?

Answer 5

Decline, on the basis that as an individual I am not registered with RICS, I do not have individual PII or run-off cover, a complaints handling officer or have a locum in place. Therefore, I am unable to operate individually.

Alternative answer, on qualifying I will not be a RICS Registered Valuer and therefore not qualified to provide valuation advice. I would refer the friend to a colleague who has the necessary expertise to advise them.

Question 6

What act governs a gift policy?

Answer 6

The Bribery Act 2010

Question 7

What is your company’s procedure for handling conflicts of interest?

Answer 7

Check firms policy.

Question 8

Can you give me another example of an ethical situation you have been involved in and the advice given?

Answer 8

Tenant requested information about future of farming out with working hours and in public place. I asked that they contacted me during working hours to discuss. I then advised that a meeting should be set up to explore future options with this individual.

Question 9

When was RICS founded?

Answer 9

1868

Question 10

What does RICS stand for?

Answer 10

Royal Institution of Chartered Surveyors

Question 11

Give me and example of when you have acted with honesty and respect?

Answer 11

Personal answer.

Question 12

What factors impact your choice of communication?

Answer 12

When conducting agricultural rent reviews the choice of communication is determined by the TFC’s recommended process, i.e. use of letters sent by recorded delivery.
In other situations, the tenant/client may determine the method by way of considering eyesight or hearing loss. Communication may also be determined by the type of negotiation and whether it requires an email follow up confirming the items discussed/agreed.

Question 13

What is your companies loan working policy?

Answer 13

Personal answer.

Question 14

Name some of the rights under GDPR?

Answer 14

Right to…
be informed
of access
of rectification
to erasure
to restrict processing
to data portability
to object
related to automated decision making including profiling

Question 15

Who governs GDPR in the UK?

Answer 15

Information Commissioner’s Office (ICO)

Question 16

Talk me through some dispute resolution procedures?

Answer 16

Mediation, arbitration and expert witness.

Question 17

What is the difference between mediation and arbitration?

Answer 17

Mediation is the simplest form of dispute resolution where the parties meet with a mediator, who attempts to find an acceptable settlement between the parties. Arbitration is governed by the Arbitration (Scotland) Act 2010 and is a process where the arbitrator’s decision must be accepted by both parties, it is legally binding.

Question 18

Define an inclusive environment.

Answer 18

In an inclusive environment, people of all cultural orientations can: freely express who they are, their own opinions and points of view.

Question 19

You say you attended a CPD course on X - what did you learn?

Answer 19

Personal answer.

Question 20

Who is the President of RICS?

Answer 20

Clement Lau

Question 21

How would you manage a conflict of interest?

Answer 21

On identifying the potential conflict, I would liaise with my superior to advise all parties of the potential conflict. I would then present options to address the conflict of interest enabling the party(ies) to decide how to proceed.

Question 22

What is the difference between a P&L account and a balance sheet?

Answer 22

Balance sheet = statement of assets, liabilities and capital.
P&L = statement of income and expenses.

Question 23

What would you do before undertaking a site visit on your own?

Answer 23

I would inform someone in the office of where I am going, what time I plan to arrive and what time I plan to be back in the office. I would ensure that member of staff has my mobile number to contact me in case of emergency.

Question 24

What is PII? Why is it required?

Answer 24

Personal Indemnity Insurance protects against claims for loss or damage made by clients or third parties as a result of the impact of negligent services you have provided or negligent advice you have offered.

Question 25

What are the different methods of communication you use?

Answer 25

Email, telephone, text, social media and verbal.

Question 26

Explain CDM?

Answer 26

Construction (Design and Management) Regulations 2015. They help to guide building and construction works in the UK, by providing guidelines for planning, managing people, coordinating elements of works and how to communicate. For constructions works operating for more than 30 days with more than 20 workers or involving 500 person days of work, you will need to notify HSE.

Question 27

If you got a gift of a case of wine to complete a job more quickly, would you accept?

Answer 27

No, this would be classified as a bribe. Gifts can only be accepted once a job is complete, the invoice is paid and it is proportional to the job completed.

Question 28

You have passed your APC and want to start your own business right away. What do you do?

Answer 28

Register with RICS
Set up PII
Set up run-off cover
Appoint a locum
Appoint a complaints handing officer in a different firm.

Question 29

How would you assess what level of PI insurance cover you need?

Answer 29

Turnover

Question 30

What is the RICS governance structure?

Answer 30

Privy council - governing council - standards and regulations board, management board, nominations and renumeration committee

Question 31

What are the four offences in the Bribery Act 2010?

Answer 31

Receiving a bribe, bribing, bribing a foreign public official and failing to prevent a bribe

Question 32

What is the sentence for failing to comply with the Bribery Act 2010?

Answer 32

Up to 10 years in prison and/or an unlimited fine.

Question 33

What is the timeline for responding to a complaint?

Answer 33

Best practice to hold a meeting but if cannot be resolved, ask complainant to submit complaint in writing, it should be acknowledged within 7 days and dealt with within 28 days as per the RICS guidelines. If the complainant is still unhappy, the matter can be referred to a third part such as the Property Redress. You should refer to your firms own CHP.

Question 34

What are the PII levels?

Answer 34

Turnover = min level of cover required.
£100,000 or less = £250,000 cover
Up to £200,000 = £500,000 cover
Over £200,000 = £1m cover

Question 35

What are the PII levels?

Answer 35

Turnover = min level of cover required.
£100,000 or less = £250,000 cover
Up to £200,000 = £500,000 cover
Over £200,000 = £1m cover

Question 36

Red flags of money laundering?

Answer 36

Transactions which do not make sense. A money trail which you cannot follow (lack of receipts). Paying significantly in excess of the asking price/fee. You are unable to identify the company/person behind the transaction.

Question 37

Tell me about something you have read recently which would be on interest to the RICS?

Answer 37

RICS MODUS article, journal, change in legislation etc.

Question 38

Key elements of a terms of engagement for valuation?

Answer 38

Purpose of valuation
Asset to be valued
Valuation date
Interest to be valued
Valuer and their status
Assumptions and special assumptions