All Competencies Flashcards
(322 cards)
1
Q
What are the 5 rules of conduct?
A
1 - be honest and act with integrity
2 - Maintain professional competence
3 - Provide good quality and diligent service
4 - Treat others with respect and encourage diversity and inclusion
5 - Act in the public interest and take responsibility
2
Q
Why do we have rules of conduct?
A
Set out the standards of professional conduct and practise expected of members and firms registered for regulation by RICS
3
Q
Define ethics
A
Having a higher standard than just avoiding a certain behaviour or practise because it is illegal
4
Q
5 principles of better regulation?
A
- Proportionality
- Accountability
- Consistency
- Targeting
- Transparency
5
Q
What are the 3 professional obligations for RICS members?
A
1 - Comply with CPD requirements
2 - Cooperate with the RICS
3 - Provide all information requested by the Standards and Regulation Board
6
Q
What is a conflict of interest?
A
A situation in which a person is in a position to derive personal benefit from actions or decisions made in their official capacity.
7
Q
What is a bribe?
What are the consequences of a bribe?
A
An inducement or reward offered, promised or provided unethically to gain any commercial, contractual, or personal advantage
- fines
- Imprisonment
- Legal Costs
- Adverse Publicity
8
Q
What is Money Laundering?
A
Converting and investing illegally gained money into property
9
Q
Who is the president of the RICS?
A
Justin Sullivan
10
Q
Who is the Chairman of the RICS?
A
Martin Samworth
11
Q
What does your firm do to ensure the health and safety of its employees?
A
- Has a H&S hierarchy and policy which is updated regularly
- Training is provided to staff
- Internal Audits
12
Q
What is the Health and Safety at work act?
What are its basic principles & what penalties are there?
A
The H&S at Work Act 1974
- UK legislation ensuring health, safety & wellbeing of employees & others
- Unlimited fines
- 2 years in prison
- Director Disqualified
13
Q
What is ‘Personal Data’?
A
Anything that could identify an individual
e.g.
- Name
- ID Number
- Location
- Characteristics
14
Q
What are the CDM regulations?
A
Construction, Design, & Management regulations (2015)
Aims to consider H&S throughout entire projects, from conception to demolition
Projects become notifiable if they:
- Last longer than 30 days
- Are more than 20 workers
- Are over 500 person days
15
Q
What is the difference between a risk and a hazard ?
A
Hazard - anything that could cause harm
Risk - combination of:
- likelihood of occurrence
- severity of outcome
16
Q
What are the:
- 7 Key Principles
- 8 Individual rights
of GDPR (General Data Protection Regulation)?
Can you name 3 of each?
A
7 Key Principles:
1) Lawfulness, fairness, transparency
2) Purpose limitation
3) Data minimisation
4) Accuracy
5) Storage limitation
6) Integrity & confidentiality
7) Accountability
8 Individual Rights:
1) To be informed
2) Access
3) Rectification
4) To erasure
5) Restrict processing
6) Data portability
7) object
8) Automated decision making
17
Q
What are included in your firms Terms of Business?
A
- Introduction
- Persons responsible
- Charges
- Payment Procedures
- Confidentiality
- Limitation & Liability
- Data Protection
- Complaints Procedure
- Termination Procedures
18
Q
What components would you find in a business plan?
Why are they needed?
A
- Executive Summary
- Marketing Strategy
- Product or service provided
- Management Structure
- Responsibilities & Targets
Help to secure new instructions, expand client base and allows for resource planning
19
Q
Terms of engagement examples
A
- Client details
- Staffing details
- Conflict of interest declaration
- Scope of work
- Assumptions
- Fees
- Complaint Handling Procedure
- Liabilities
20
Q
Why would a firm want to RICS accreditation?
A
Status shows that the firm
- behaves ethically
- handles client money responsibly
- acts transparently
- has necessary skills and competence
- handles complaints appropriately
21
Q
What is a safe place?
A
A place or environment where people feel safe from discrimination, criticism, harassment, and harm.
22
Q
What are your firms procedures for checking conflict of interest?
A
Set out in my company’s Conflict of Interest Policy, available on the Integrated Management System (IMS)
- Circulate a quality plan at the start of a new job
- Keep the QP on file
- Manager must raise any conflict of interest with all affected parties
- We must receive client approval in writing before proceeding
23
Q
What is a balance sheet?
What is a profit and loss statement?
What is a cash flow statement?
A
Balance Sheet -
A statement of financial position at a specific point in time (assets, liabilities, equity)
Financial statement -
Statement recording revenue, costs, and expenses (usually quarterly)
Cash flow statement -
Statement showing net cash-flow position to help assess liquidity
24
Q
Have you dealt with a complaint before & what did you do?
A
Complaint from a landowner that a surveyor had taken access without consent
- Called client to confirm details
- Logged complaint in the complaint handling log
- notified complaint handling officer
- reviewed practises and held internal meeting to discuss avoiding in the future
- the complaint was resolved and did not escalate
25
What is the RICS guidance on Health and Safety? Is it mandatory?
RICS Surveying Safely 2018
Guidance - not mandatory
26
When is it appropriate to use informed consent?
When the member/firm are satisfied that
- proceeding is in all parties best interest
- it is not illegal
- objective, competent, and diligent service can still be provided.
27
How does your firm ensure it stays profitable?
- timesheet and expenditure records
- project reviews
- Team meetings for resource planning
- Performance reviews / appraisals
28
What guidance does the RICS offer regarding conflict of interest?
RICS professional statement 'Conflicts of Interest' 2017
The RICS ethics tree
29
If a client wanted to pay you in advance of works, how would you deal with this?
1. Create client account
2. Provide statement of account
3. Agree and inform of drawdowns
4. Provide statement rationalising drawdowns
5. Provide final statement on completion
30
How have you agreed an uplift to your fees from a client?
- Met client to discuss change in scope
- Provide cost estimate, in writing, for additional work
- Confirmed new total fee account proposed
- Offered further discussion if required
- Awaited consent before proceeding
31
Under what Act are audits required?
Companies Act 2006
32
How does your company guard against money laundering?
- Anti Money Laundering policy
- Conducts AML risk assessments
- Adopt internal controls and procedures
- Provide Staff Training
- Client ID procedures
- Keep good records
33
What is a client money account and what types are there?
What are our obligations?
An account holding client money under complete control of an RICS firm/member.
Discrete (1 client)
General (more than 1)
- keep client money safe
- use accounts appropriately
- ensure controls & procedures are in place
34
What must we do when holding Client Money?
- Maintain exclusive control over client accounts
- ensure no other money is held in that account
- ensure 'client' and the firms name are specified in the account name
- ensure money is immediately available to the client
- Provide banks operating conditions
35
What must we do in relation to accounting records & control of client money?
- Keep records of all transactions
- ensure all transactions align with client instructions
- publish money handling procedures on website
- prevent overdrafts & rectify any immediately
- have adequate data protection in place
36
What are the benefits of an inclusive environment?
- Reduced social inequality
- Reduced cost on adaptations long-term
- Attracts a diverse group of users
- Improved economic development
37
What is the minimum indemnity cover required for firms?
Depends on previous years turnover -
- less than £100,000 = £250,000
- £100,000 - £200,000 = £500,000
- Over £200,000 = £1,000,000
38
What would you need if you set up a new practise?
- Insurance
- Business Plan
- H&S Policy
- Complaints Handling Procedure
- Bank details
- Website & Email Address
- Staff Contracts
39
How long do you keep data for?
Bell Ingram Data Protection Policy
Held for duration of business relationship, + 1 year
Held for up to 6 years to protect against legal risk
40
What must we do regarding conflict of interest?
1) Identify and manage Conflict of Interest
2) Keep records of decision making & measures implemented to avoid them
41
How do you determine if a gift is appropriate?
- Consult the RICS ethics tree
- Consult my firms anti-bribery policy
- Consult RICS professional statement 'Bribery, Corruption, Money Laundering & Terrorist Financing' Feb 2019
42
If you accidentally send confidential information to the wrong party, what should you do?
Act Honestly
- Inform Client
- Inform Manager
Act Diligently
- Contact recipient & Ask to delete or destroy information
Take Responsibility
- Learn lessons
- Deal with complaints as appropriate
43
What is informed consent?
Consent given by any party who may be impacted by a Conflict of Interest that they understand:
- there is a conflict of interest or a risk of one
- The RICS firm knows and understands this
- What it is or may be
- The Conflict of Interest may inhabit the RICS Firm
But remains happy for them to proceed
44
How is data secured in your firm?
- Paper Files in lockable cabinets
- Folders, documents & external storage devices are encrypted
- Two-Stage Authentication
- Limited access to SharePoint
45
You are offered tickets to Ascott by a client. Do you accept? What do you do?
Gifts must be proportionate and not used as a reward to gain an advantage
I would politely decline, log this in the firms gifts & hospitality register and if I was concerned about bribery, report to the manager.
46
Prior to working with a new client, what checks would you undertake?
I would ensure I am sufficiently knowledgeable, skilled and competent to carry out the work
I would check for any conflicts of interest
I would ensure the sufficient PII insurance was in place to cover the value of the instruction.
47
On receipt of a formal complaint, what would you do?
I would -
- Notify them that the complaint has been received and that we are working to rectify this.
- Issue a copy of my firms complaint handling procedure
- Report the complaint to the designated complaints handler
- Meet the client to receive feedback and address any areas of concern
- And if I was unable to resolve the complaint, I would refer this to the RICS.
48
If 2 separate departments within your firm were working for 2 rival companies, how would you ensure client sensitive data was managed?
I would -
- Inform clients of the conflict of interest and the risks associated with this
- Request a letter of instruction from them to continue
- Put measures in place to minimise potential risk, such as NDA's, separate working locations, and secure storage of data.
49
What is work place diversity?
Diversity in the work place relates to the acceptance and inclusion of employees of all backgrounds.
50
When did the Rules of Conduct change?
February 2022
51
What are the CPD requirements for MRICS members?
Record 20 hours of CPD every year, where a minimum of 10 have to be formal.
52
What is a Red Book Valuation and why do we need it?
The RICS Valuation – Global Standards, the red book, provides a global framework of standardized valuation procedures and standards that are necessary for installing consistency, high standards and public trust in valuation.
53
What should be included in a Red Book Valuation Report?
- Introduction
- Purpose & Basis of Valuation
- Assumptions & Special Assumptions
- Property Description
- Valuation Date
- Market Commentary
- Evidence
- Signatures
54
When is a Red Book Valuation compulsory?
Legal and accounting procedures such as:
- Probate
- Capital Gains Tax
- CPO's
- Divorces
- Property Disputes
- Sales by Charities or NPO's
- Valuation of Bank, Mortgage or Lending Securities
55
When is a Red Book not required?
- Advice given during negotiations or litigation
- Internal use with no liabilities
- Performing statutory functions
- When acting as an expert witness
56
What is included in a Red Book Valuation Terms of Engagement?
- Valuer & Client Details
- Valuation date & subject
- Basis and Purpose of Valuation
- Assumptions & Special Assumptions
- Fees
- Complaints Handling Procedure
57
Before accepting a valuation, what should you do?
- Establish the purpose of the valuation
- Identify if it is a Red Book valuation or not
- Check for conflicts of interest
- Check for legal requirements
- Check for 3rd Party Interests
- Ensure the sufficient PII is in place.
58
If I had arrived for the inspection & circumstances had changed or appeared unsafe, what would I have done?
I would have carried out a dynamic risk assessment
- continually re-evaluate to determine competence and safety.
- If there was unsafe conditions, I would immediately stop, seek assistance and rearrange.
59
What due diligence did I undertake before the inspection?
- Carried out a Desk Top Review
- Studied the lease / agreement
- Carried out a risk assessment
- Printed out plans
- Ensure I have the appropriate PPE.
60
What measures did I put in place to ensure safety when inspecting?
- Carried out Desk Top Due Diligence & A Risk Assessment
- Planned Travel Routes
- Checked the weather forecast
- Charged my mobile phone
- Kept colleagues informed of my whereabouts
- Asked the client / tenant of any potential risks, e.g. livestock
61
What did I include within my risk assessment prior to inspection?
- Identified hazards and risks
- Who may be harmed and how
- Mitigation strategy
- Who is responsible
- Actions required
- dates
- location
- contact details
62
What are the 5 methods of valuation?
- Comparable method
- Depreciated Replacement Cost Method
- Investment method
- Profits method
- Residual method
63
What happened in Stokes vs Cambridge (2008) ?
Stokes v Cambridge (1961)
- A claim for compensation for land under a CPO
- Access to the land was a ransom strip
- Court held that an appropriate purchase price was to be attributed to the ransom strip
- 33% of the increase in value of the subject land attributable to the acquisition of the ransom strip
64
What is a ransom strip?
A ransom strip is a piece of land that must be crossed to enable adjoining land to be developed.
65
What is Market Value?
The estimated amount for which an asset or liability should exchange on the valuation date between a willing buyer and a willing seller in an arm's length transaction after proper marketing and where the parties had each acted knowledgeably, prudently and without compulsion.
66
What are assumptions? What are special assumptions?
Assumptions are conditions or situations affecting the property which (by agreement) are assumed to be true.
Special assumptions assumes facts that differ from actuality, are true.
67
What makes a good comparable?
A comparable which is similar in -
- Size
- Nature
- Ownership
- Location
- Disposal method
As close to the valuation date as possible.
68
What is the residual method of valuation?
The residual method of valuation establishes how much a developer should pay for a site with development potential.
The residual method of valuation calculates the gross development value, minus the associated development costs and the developers profit.
69
What are the Valuation Technical and Performance Standards?
VPS1 - Terms of engagement
VPS2 - Inspection, investigation and records
VPS3 - Valuation reports
VPS4 - Bases of Valuation, assumptions, special assumptions
VPS5 - Valuation approaches and methods
70
What is a special purchaser?
A buyer for whom an acquisition has special value not available to others in the open market.
71
What are assumptions?
What are special assumptions?
Assumptions -
Conditions or situations affecting the property which (by agreement) are assumed to be true
Special Assumptions -
Assumes facts that differ from actuality, are true
72
What are the bases of value?
Where are they defined?
- Market Value
- Market Rent
- Investment Value
- Equitable Value
- Synergistic Value
- Liquidation Value
Red Book VPS4 & IVS 104
73
What makes a good comparable?
Similar in:
- Size
- Nature / Condition
- Ownership / Tenure
- Geographical distance / Location
- Disposal method
As close to the Valuation Date as possible
74
What is the comparable method of valuation?
The comparable method of valuation provides an indication of value through obtaining comparable evidence.
75
What is the Profits method of valuation?
How does it work?
The profits method of valuation establishes the trading potential of a business in trade related properties, such as a cinema or hotel.
The profits method calculates the gross annual income, minus all associated costs, and them multiplies by the relevant multiplier.
76
What is the Depreciated Replacement Cost Method of Valuation?
How does it work?
The depreciated replacement cost method of valuation provides an indication of value based on a buyer paying no more or less than the cost to obtain the asset based on the current equivalent.
It is often used to value properties where this is no active market, such as a mosque.
The depreciated replacement cost method of valuation is calculated by identifying the cost of building the equivalent building, plus the cost of purchasing the land.
77
What is hope value?
Hope Value is a term used to describe the market value of land based on the expectation that planning permission will be granted to develop on it.
78
What is marriage value?
Marriage value is the extra value that arises from the merger of 2 physical or legal interests.
79
What is special value?
Special value is an extraordinary element of value over and above market value.
80
What is a S.168 Notice and what is the notice period?
A notice which allows access for site investigation works. 7-day notice period.
81
Heads of terms included in a purchase r.e. access and rights
- Consideration
- Access rights
- Works/Usage
- Vacant Possession
- Fees
- Premises with a plan reference
82
What is a s.159 Notice and what is the notice period?
Gives access to either construct new apparatus - 3 month notice period
or
access for maintenance or replacement of apparatus - 42 day notice period
83
What powers are in a s.158?
Powers to lay pipes in the street
84
Powers to compulsorily acquire land in the different utility industries
Water = Water Industry Act 1991, s.155
Electricity = Electricity Act 1989, schedule 3
Gas = Gas Act 1986, schedule 3
85
What is a wayleave?
- A terminable agreement linked to the owners or occupiers, rather than the land itself.
- right of access across the land to install or maintain apparatus.
- Not binding on successors.
86
What is an easement?
- Also referred to as a Deed of Grant, a permanent agreement linked to the land itself rather than the owner or occupier.
- Grants permission for specified activities, such as rights of way, rights to construct, maintain, replace and repair.
87
What is the difference between a wayleave and an easement?
A wayleave is a terminable agreement with the owner or occupier, not with the land itself and is not binding on the successors.
An easement is a permanent agreement against the land itself, is on the land title and is binding with the successors.
88
What are accommodation works?
- measures implemented to reduce the impact of the works carried out.
- This can include passing places, stock-proof fencing, new access roads.
89
Common rights related to easements?
Right to lay, install, maintain, replace, and repair infrastructure.
90
What is a licence?
A licence is a personal right to use land and is not transferable.
91
What is a lease?
A lease is an interest in land. Interests in land are transferable.
92
What is the difference between a licence and a lease?
A licence is a personal right to use land and is not transferable
A lease is an interest in land, and is transferable
93
What are restrictive covenants?
A legal agreement which prevents someone from carrying out certain acts on their property.
E.g. They can't build on it.
94
What is a Land Title?
A registered interest in the land which incorporates all restrictions on the land, the registered proprietors details as well as the leasehold interests.
95
Water Industry Act 1991?
Sets out the main powers and duties of the water and sewerage companies,
and,
Gives powers to construct and maintain water/wastewater apparatus by service of notice under the act.
96
What is a s.155 under the Water Industry Act 1991?
CPO for land acquisition, although this is often purchased by agreement.
97
What is schedule 12 of the Water Industry Act 1991?
Compensation is assessed in accordance with schedule 12 of the Water Industry Act 1991
98
Agents fees under Water Industry Act 1991?
- Often based on Rydes Scale
- Also can be based on an hourly rate agreed with by the Client.
99
Electricity Act 1989?
Governs the supply and distribution of electricity
100
What is a necessary wayleave?
If they cannot reach an agreement with a landowner voluntarily, an operator can apply for a necessary wayleave.
They must provide evidence as to why it is needed and this must be granted by the Secretary of State.
101
Schedule 3 and Section 10 of the Electricity Act 1989?
Where an agreement through negotiation can not be reached, Secretary of State has power under schedule 3 and Section 10 of the Electricity Act 1989 to compulsory purchase the rights.
102
Section 37 of the Electricity Act 1989?
statutory consenting process, granted by the Secretary of State, to install and keep installed overhead electric lines.
103
Agents fees under the Electricity Act 1989?
Rates are not statutory, they are guidelines.
Based on their own fee scales.
104
Gas Act 1986 - Brief
Governs the supply and distribution of gas.
I haven't been involved with any instructions surrounding the Gas Act.
I am aware that statutory powers are limited in comparison to the Water Industry Act 1991.
I am aware that usual practise is to secure rights through voluntary agreement.
I am aware that powers within the Gas Act 1986 to compulsory acquire land or rights is available through schedule 3, which has to be authorised by the Secretary of State.
105
Section 9 and Schedule 3 of the Gas Act 1986
Powers within the Gas Act 1986 to compulsory acquire land or rights. Must be granted by the Secretary of State.
106
Level 2 Access and Rights examples are:
National Grid ZP & ZPA
- Painting of towers
- accommodation works and access routes to minimise disturbance and damage
- Maintaining communication with landowners through the scheme
- Negotiating and settling compensation claims
Utkinton WwTW
- Topographical and borehole surveys
- s.168 served to landowners and agents
- Compound area
- Negotiated and agreed licence terms with landowner and agent
107
Level 3 Access and Rights examples are:
SPEN AG Line:
- Replacement of conductors
- Field had lots of horses and no alternative location for them to go
- Agreed access route along the perimeter of the field
- advised that post and rail fencing would be required for health and safety purposes.
Duddon WwTW:
- purchase for improvement works of an existing asset
- Tight timescales
- I advised that the purchase wouldn't complete in time, and that a licence would be needed to gain rights to the land until it did.
- Successfully negotiated 2 licence agreements, 1 for the purchase area and 1 for the compound, and agreed terms for the purchase and HOT's were issued
108
Level 3 Access and Rights - Advice Given:
SPEN AG:
- Post and Rail fencing required for health and safety purposes
- lots of horses in the field and no alternative location for them
Duddon WwTW:
- Advised a licence would be required to obtain rights to the land until the purchase completed
109
National Grid ZP & ZPA overhead electricity line:
National Grid ZP & ZPA
- Painting of towers
- accommodation works and access routes to minimise disturbance and damage
- Maintaining communication with landowners through the scheme
- Negotiating and settling compensation claims
110
Utkinton WwTW:
Utkinton WwTW
- Topographical and borehole surveys
- s.168 served to landowners and agents
- Compound area
- Negotiated and agreed licence terms with landowner and agent
111
SPEN AG 132 kV overhead line:
SPEN AG Line:
- Replacement of conductors
- Field had lots of horses and no alternative location for them to go
- Agreed access route along the perimeter of the field
- advised that post and rail fencing would be required for health and safety purposes.
112
Duddon WwTW:
Duddon WwTW:
- purchase for improvement works of an existing asset
- Tight timescales
- I advised that the purchase wouldn't complete in time, and that a licence would be needed to gain rights to the land until it did.
- Successfully negotiated 2 licence agreements, 1 for the purchase area and 1 for the compound, and agreed terms for the purchase and HOT's were issued
113
How should a notice be served?
Notices must be valid:
- issued to the correct registered owner and occupier at their current address
114
What year is the Water Industry Act?
1991
115
What year is the Electricity Act?
1989
116
What year is the Gas Act?
1986
117
What is a DCO?
Development Consent Order:
Means of obtaining planning permission for a Nationally Significant Infrastructure Project under the Planning Act 2008.
118
What interests qualify under S.12 Acquisition of Land Act 1981?
Under Part 1 - Owners, lessees, tenants, occupiers (Book 1)
Under Part 2 - Mortgages, restrictive covenants, trustees (Book 2)
119
What can be claimed for if impacted by a CPO?
- Land Taken
- Disturbance
- Loss Payments
- Severance & Injurious Affection
120
What is a CAAD and what is the process?
Certificate of Appropriate Alternative Development
- determines what site could be used for in a no scheme world
- application through local council & can be positive (to prove) or negative (to disprove)
121
What are the Crichel Down Rules?
Non-statutory arrangements for AA to sell surplus land back to owners if bought using statutory powers.
122
What rights to compensation are afforded under 1961 & 1973 Acts?
1961 Act establishes the 6 rules of assessing compensation (Land Taken)
1973 Act defines the right to compensation if impacted by the use of the works (No Land Taken)
123
How did you verify ownership data in relation to the National Grid referencing?
- Checking Land Registry documents
- Issuing questionnaires
- Erecting site notices for unregistered land
124
What are the MacCarthy rules? When do they apply?
For claims under Section 10 Compulsory Purchase Act 1965
Injurious Affection compensation when land is not taken, but impacted by the execution of the works
1) The Injurious Affection must be the Consequence of lawful exercise of statutory powers
2) The Injurious Affection must arise if done without Statutory powers
3) The value of the land must be directly affected by physical interference with some legal right that the claimant is enititled to make use of in connection with their property
4) Damage arises from execution of the works and not from the use
125
What is a Notice to Treat?
Notice stating on AA's willingness to negotiate for a purchase & compensation.
3 steps -
1- a notice to treat
2 - a notice of entry
3- a conveyance
Possible to gain possession and start development earlier than under a General Vesting Declaration.
Usually 21 days to respond
Can be withdrawn, served on whole or part of the property
Entry can be 3 months from the service of a Notice of Entry
126
Name some potential Heads of Claim following a CPO
- Temporary or permanent loss of profits
- Loss of crop
- Reinstatement of land
- Relocation cost
- Reasonable legal / surveying fees
127
What is S.14 of the Land Compensation Act 1961?
Taking account of actual or prospective planning permission in valuing land subject to compulsory acquisition.
128
What is the difference between severance and injurious affection?
Injurious Affection -
- Compensation for depreciation of value of retained land arising from statutory works.
- Claimable under S.10 1965 Act
- Eligibility determined by the McCarthy Rules
Severance -
Severance occurs when the retained land is severed from the rest of the property and therefore loses value.
129
What is the purpose of compulsory purchase?
Compulsory purchase powers are provided to enable acquiring authorities to compulsorily purchase land to carry out a function which has been decided is in the public interest.
130
What is the principle of equivalence in relation to compulsory purchase and compensation?
You should be no better or worse off in financial terms after an acquisition than you were before.
131
What are the two main principles for compensation in regard to CPO?
1 - Compensation where land is taken
2 - Compensation where no land is taken
132
What is land taken?
The value of the land taken that is to be negotiated
133
What is no land taken?
This is where compensation is payable when no land is taken but when statutory powers are exercised.
134
What is disturbance?
This represents the costs and losses incurred as a result of being disturbed from the occupation of the property.
135
What is Betterment?
This is the opposite of injurious affection. There may be instances where the scheme of the acquiring authority may increase the value of the retained land.
136
What is the basis of value for land taken?
This is based upon what the land might be expected to realise if sold in the open market by a willing seller.
137
What is the “no-scheme” rule?
This is where the effect of the scheme underlying a CPO is required to be disregarded in assessing compensation.
138
What is severance?
Severance is when the land acquired contributes to the value of the land which is retained, so that when severed from it, the retained land loses value.
139
What is injurious affection?
Injurious affection is the depreciation in value of the retained land as a result of the proposed construction on, and use of, the land acquired by the acquiring authority for the scheme.
140
What is the home-loss payment?
Where can the qualifying conditions for this be found?
This is an additional sum to reflect and recognise the distress and discomfort of being compelled to move out of a persons home.
Section 29-33 of the Land Compensation Act 1973
141
How would you calculate betterment?
If Betterment exists, you would look to offset the increase in value against the compensation that is payable in respect of the land acquired.
142
When can compensation be claimed for no land taken?
1 - A reduction in the value of land caused by the execution of public works.
2 - A reduction in the value of land caused by the subsequent use of public works.
143
What is meant by “without prejudice?”
The use of the phrase “without prejudice” indicates that the communications is privileged and is not admissible as evidence against the party making it.
144
What is blight?
This is where a landowner is unable to sell their property or can only sell it at a substantially reduced price as a result of the CPO.
145
What is a blight notice?
This is when a landowner serves a blight notice on the acquiring authority seeking them to purchase the land at open market value.
146
What is a purchase notice?
When a purchase notice would be used?
A notice served by a landowner on the AA requiring them to purchase land where planning permission has been refused and the landowner claims the land is incapable of reasonable beneficial use.
147
What are the main Heads of Claim?
1 - Land taken
2 - Severance and injurious affection
3 - Disturbance
4 - Fees
148
What is the Pointe Gourde Principle?
What is the case law?
Any special suitability of the land taken for the purpose of the acquiring authority is not to be taken into account. Exclude any increase or decrease in value of the land due to the scheme.
Pointe Gourde Quarrying Co Limited v Sub Intendant of Crown Lands [1947]
149
What is the No Scheme Principle?
This is where the effect of the scheme underlying a CPO is required to be disregarded in assessing compensation.
150
Level 2 CPO examples:
National Grid ZP & ZPA:
Steelworks replacement scheme
Settling compensation, covering costs such as disturbance, landowners time, reinstatement, and crop loss.
All claims evidenced by quotes or the agricultural budgeting and costing book.
HS2 - Affected Landowner:
Assisted with Blight Notices.
Landowner received letter from HS2 stating intention to serve a CPO on his commercial property, but was never actually served.
Landowner enquired about right to claim losses.
HS2 cancelled but link was still to be acquired for another project.
No claim was to be considered for a commercial property until formal CPO notices were served.
151
Level 3 CPO examples:
Pipeline Easement Renewals CPO:
drafted CPO schedule - advised all landowner details needed to be up-to-date and titles ordered over 3 years ago would not be sufficient.
Identified unregistered areas and advised that notices would need to be erected on-site to establish landowner details.
Produced an online landowner questionnaire to confirm additional interests and details.
National Grid - Sheffield Cables:
CPO for new land and rights for a 275kV electricity cable
Assisted in drafting CPO schedule in table 2
Issuing Notices of Making
Erected and checked notices on site on a weekly basis
Removed once objection period had expired
Informed Client and confirmed CPO compliance
Worked with senior colleagues to liaise with the objectors in an effort to resolve any concerns and enable objections to be withdrawn prior to the inquiry.
152
Level 3 CPO advice given:
Pipeline Easement Renewals CPO:
Advised landowner details needed to be up-to-date and titles ordered over 3 years ago weren't sufficient.
Advised notices needed to be erected to establish unregistered land parcels.
Sheffield Cables:
Advised the Client that notices had been erected, removed and have been in compliance with CPO guidance.
153
Notice of making?
The notices of the making of the CPO invite submissions to the confirming authority.
154
How should an Objection be submitted and how long is the objection period?
- Must be in writing
- within objection period stipulated in the notice (at least 21 days from the date of notice)
- Inquiry held once objection period has expired
155
Difference between General Vesting Declaration and a Notice to Treat?
Both are very similar, but a General Vesting Declaration can obtain the title more quickly but can take longer to gain possession and for development to start. A notice to Treat has a longer process to obtain the title, but can possibly gain possession and start development earlier than a General Vesting Declaration.
156
RICS guidance on Compulsory Purchase?
Surveyors Advising in Respect of Compulsory Purchase and Statutory Compensation (2017)
157
When drafting the FBT agreement for the Cheshire Wildlife Trust, what clauses did you recommend to be amended / removed?
- I advised to remove a clause stating that should the tenant give them a written notice of failure to carry out work they are required to do under the agreement, that the Tenant is to do the work and recover the reasonable cost from the Landlord.
- The term of the agreement was changed from 1 year to 5 years to enable the Cheshire Wildlife Trust to be eligible for the Countryside Stewardship scheme.
158
Once you had sent the FBT to the Cheshire Wildlife Trust, what alterations did they request that you deemed "not unreasonable"?
- They asked for Holly Bank House to be excluded from the agreement as this was not relevant to the FBT.
- They requested for "fences" to be taken out of the clause whereby it is stated that the Tenant is not allowed to remove X, Y and Z.
- They requested for the agreement to state that although maintenance off the field drains is their responsibility, it is to be paid for by the Landlord.
159
How can a Landlord or Tenant terminate a FBT?
Serve a notice to quit, in writing, under section 5 of the Agricultural Tenancies Act 1995, unless the term is 2 years or less. This needs to be served at least 12 months before the expiry date.
If the agreement is 2 years or less, it will expire at the end of the fixed term.
160
Headings in a lease?
- Names of parties
- Address of the Property
- The term
- The rent
- Leaseholder obligations
- Freeholder obligations
161
What is Security of Tenure?
The right of a tenant to occupy the property after the lease expires
162
What is the difference between an AHA and a FBT agreement?
AHA -
- an agreement under the Agricultural Holdings Act 1986
- an agreement which started prior to the introduction of the Agricultural Tenancies Act 1995 and FBT agreements
- Enjoy long term security of tenure
- Can be a written or an oral agreement
FBT -
- An agreement under the Agricultural Tenancies Act 1995
- Doesn't enjoy security of tenure
- Has to be a written agreement
163
What rights to succession are included within a AHA agreement?
Allows for 2 succession tenancies.
The rules changed in September 2024 surrounding the tests of suitability and eligibility.
164
What agreement is the Tenant on at Appleton Airfield?
A Contract Farming Agreement
165
What rights would your client have to remove the Tenant at Appleton Airfield
Either,
- A 3 month written notice, or
- a 14 day written notice should he have breached a condition of the agreement, e.g. persistent late payments
Both are subject to payment of compensation from the Landlord for crops in the ground.
166
What is Forfeiture?
A clause which allows an agreement to be terminated on the basis that there has been a breach of contract, such as non-payment of rent.
167
What is "Holding Over"?
Where a Tenant remains on occupation at the end of a Tenancy.
Until the Tenancy is terminated under s.24 of the Landlord and Tenant Act 1954, the Tenant has the right to remain in occupation on a year to year basis and on the same terms of the old tenancy.
168
What are the ways a Tenancy can come to an end under the Landlord & Tenant Act 1954?
S.25 - Landlord serves a notice of termination
S.26 - Tenant requests a new tenancy
S.27 - Tenant serves a notice of termination
S.28 - Landlord and Tenant agree terms for a new tenancy
169
S.25 of the Landlord & Tenant Act 1954?
S.25 - Landlord serves a notice of termination
Must be served at a minimum of 6 and a maximum of 12 months notice.
170
S.26 of the Landlord & Tenant Act 1954?
S.26 - Tenant requests a new tenancy
171
S.27 of the Landlord & Tenant Act 1954?
S.27 - Tenant serves a notice of termination
172
S.28 of the Landlord & Tenant Act 1954?
S.28 - Landlord and Tenant agree terms for a new tenancy
173
What notice needs to be served to create a FBT?
The Landlord and Tenant need to exchange Section 1 notices under the Agricultural Tenancies Act 1995.
174
Rent Reviews under Landlord & Tenant Act 1954?
No statutory procedure, is up to the parties as to what is agreed in the terms of the agreement.
175
Why was a new FBT requested for the CWT?
The previous FBT agreement was on a yearly basis. The increased term to 5 years allowed for the Cheshire Wildlife Trust to be eligible for the Countryside Stewardship scheme.
This is a grant which provides financial incentives to farmers, foresters and land managers to look after and improve the environment.
176
What was the issue with the 2004 Gamon FBT not being dated?
Client was looking to sell the estate, and didn't want to risk any potential issues with the purchase process, such as the FBT being argued as not being signed properly.
177
What clauses were included / removed from the Gamon FBT?
- Changed to the updated name and address of the landlord / company
- Removed clause for rent arrears to be paid on a prescribed rate until the date when payment is made
- Removed clause that the landlord shall perform it duties and obligations as lessee under the superior lease
178
Was the Barnton lease agreement contracted in or out? and what does this mean?
It was contracted in and had / has security of tenure.
179
What were the rent provisions for the Barnton lease agreement?
The rent was agreed based on a Rental Price Index uplift on a yearly basis.
180
What was the risk for the football club if the lease was to expire?
Why was the new lease required?
No major risk as they had security of tenure.
The new lease was amended to allow the club to keep up with their league requirements, and provided a long enough term to raise grant funding.
It also enabled the council to allow the local residents to use the car park.
181
What tenancies does the Landlord & Tenant Act 1954 cover?
Residential and Business
182
What does "contracted in" and "contracted out" mean?
Contracted in = Security of Tenure
Contracted out = No security of tenure
183
If contracted in and has security of tenure, how can a agreement be terminated?
s.25 notice - Landlord serves notice of termination
s.26 notice - Tenant requests a new tenancy
s.27 notice - Tenant serves notice of termination
184
What is the basis for rent reviews under the Landlord and Tenant Act 1954?
Generally it is up to the parties as to what is agreed within the agreement.
185
Provisions for terminating an agreement under the Agricultural Holdings Act 1986?
A s.25 notice under the Agricultural Holdings Act 1986 - A notice to quit.
186
Provisions for terminating an agreement under the Agricultural Tenancies Act 1995?
Less than 2 years = ends at the end of the agreement term
2+ years = If no notice is served, it becomes a yearly FBT agreement
To terminate the agreement, a notice to quit needs to be served, in writing, and with a minimum of 12 months notice, under section 5 of the Agricultural Tenancies Act 1995.
If a Break Clause is included within the FBT, this is also a provision which enables either the Landlord or the Tenant to end the tenancy early.
187
Provisions for creating a FBT?
Landlord serves a section 1 under the Agricultural Tenancies Act 1995 - A notice to create - which confirms the Landlords intention to create a FBT under the Act.
The Landlord and Tenant must exchange section 1 notices to satisfy the "notice creation" within the 1995 Act.
188
Rent Review provisions for a FBT?
Unless stated otherwise, the Agricultural Tenancies Act 1995 provides for rent reviews to take place at 3 yearly intervals.
Parties can negotiate their own rent review terms.
Landlord can serve a section 10 notice under the 1995 Act, also known as the statutory review notice, to initiate the rent review process.
189
Rent Review provisions for a AHA?
Section 12 of the Agricultural Holdings Act 1986
Landlord or Tenant can demand arbitration as to the "rent properly payable" by serving this notice.
The new rent takes place from the earliest date of which the tenancy could have been terminated by a notice to quit.
190
Difference between a lease renewal and a rent review?
A lease renewal is a statutory procedure laid down by the Landlord and Tenant Act 1954.
In the event of non-agreement, the matter is settled by court.
A rent review is a contractual procedure contained within a lease.
In the event of non-agreement, the matter shall be settled in accordance with the review clause, which usually states that rent is determined by an Independent Expert or Arbitrator.
191
What tenancies does the Landlord and Tenant Act 1954 cover?
Residential and Business
192
What is a s.25 notice under the Landlord and Tenant Act 1954?
s.25 notice under the Landlord and Tenant Act 1954 is a Landlords notice of termination.
193
When can a Landlord serve a s.25 notice under the Landlord and Tenant Act 1954?
The notice must be served between 12 and 6 months prior to the contractual end of the tenancy, or the date specified in the notice.
194
If you had noted any defects to a property, such as a crack in a roof, what would you have done?
I would have:
- Noted it and advised my client of this within the report
- I would advise that any works to amend this was outside of my expertise
- I would have advised my client to appoint a qualified specialist to progress this further
195
When working for NDA, how did you appoint a contractor to carry out the tree works?
3 contractors were invited to tender for the works. All proposals were reviewed on a fair basis. The appointed contractor was competent to carry out the works and was also the best option from a financial perspective.
196
What is a discrete account? And how should this be managed?
A Bank account set up to hold client money for a single client.
When holding Client money, the account must:
- only hold the clients money
- name of the account must state the word "client" and the name of the firm in the title of the account
- be immediately available to the client at all times
- That it is not overdrawn
197
What is your company's code of practise when appointing a contractor?
Procurement - either by Tender, Negotiation or Framework agreement
With the Essar bathroom renovation, it was a tender.
On the approved contractor database -
Check insurances are up-to-date and the services offered are relevant.
Not on the approved contractors database -
Issue H&S for approved contractor form and confirmation of receipt of H&S handbook, then record on the approved contractors database.
Then issue letter of appointment.
198
What is the RICS Real Estate Management (2016) Professional statement?
Outlines the principles for fairness and transparency underpinning all activities undertaken by property managers.
It sets out standards surrounding:
- Ethics
- Securing and ending instructions
- Managing Real Estate
- Asset management
- Lettings and Lease Renewals
199
What's the difference between a lease and a licence?
A licence is a personal right to use land and is not transferable
A lease is an interest in land, and is transferable
200
At Appleton Airfield, what rights would your client have to remove the tenant?
Was on a contract farming agreement.
Either,
- A 3 month written notice, or
- a 14 day written notice should he have breached a condition of the agreement, e.g. persistent late payments
Both are subject to payment of compensation from the Landlord for crops in the ground.
201
What other options could you have considered if establishing a re-payment structure was not possible at Appleton Airfield?
Landlord could choose to terminate the agreement.
- A 3 month written notice, or
- a 14 day written notice should he have breached a condition of the agreement, e.g. persistent late payments
Both are subject to payment of compensation from the Landlord for crops in the ground.
202
What is your process for dealing with late / non payment from a tenant?
- Contact the tenant and ask if they have paid. If they haven't, ask why.
- If no response, visit the property and meet them face to face.
- Notify the Client
- Request to see some accounts
- Identify the most appropriate method to proceed.
203
What was included within the property report for NDA?
A general report which covers the condition of the property. The report covers the condition of property boundaries, fields, fences, outbuildings. Photographic evidence is also uploaded as evidence.
204
Remedies for Non-Payment of Rent?
- Payment Plan
- Guarantor
- Draw down on Rent deposit
- CRAR (Commercial Rent Arrears Recovery)
- Statutory Demand
- Surrender / Forfeiture
205
What are the 2 core duties of a Property Manager?
1) Collection of rent, service charges, and other sums
2) The management of the property
206
If you arrive for an inspection & circumstances have changed or appear unsafe, what do you do?
Dynamic Risk Assessment -
Continually re-evaluate to determine competence and safety
Unsafe conditions -
- Immediately stop
- Seek assistance
- Rearrange
207
What due diligence should you undertake prior to an inspection?
- Desktop Review
- Study Lease
- Arrange access
- Risk assessment
- Print out plans
- PPE
208
What measures do you put in place to ensure safety on inspection?
- Desktop Due Diligence & Risk Assessment
- Plan travel routes
- Check weather forecast
- Charge mobile phone
- Keep colleagues informed
- Ask the client or tenant about hazards, livestock, etc ...
209
Tell me about the surveying safely guidance note
- Came into effect in 2019
- Sets out best practise for H&S at work for management & surveyors
- Safe Person Concept:
Everyone has a responsibility for their own, their colleagues, and others safety at work
Hierarchy of Risk Control:
- Elimination
- Substitution
- Engineering controls
- Admin controls
- PPE
210
What laws govern Occupiers Liability?
Occupiers Liability Act 1957 -
Occupiers must keep visitors safe for the purposes of their visit
Occupiers Liability Act 1984 -
Occupiers owe people other than visitors a duty of care on their premises
211
What governs valuation inspection standards?
RICS Global Standards (2022) - Valuation:
VPS2 - inspection, investigations & records:
1) Inspection & investigation to verify information
2) Re-valuations must be inspected again (unless no material change is confirmed)
3) Accurate records must be kept on file
212
What would you include in a risk assessment?
- Identify hazards and risks
- Who may be harmed & How
- Mitigation strategy
- Who is responsible
- Actions required
- Dates, locations, & contact details
213
What would you do to prepare for an inspection?
- confirm scope
- request information
- review any leases
- contact occupier & organise access
- Desk-top Due Diligence
- Risk Assessment
- Let colleagues know where I am & when
214
How do you calibrate your measuring tape & why?
- against a steel ruler
- check calibration records and add mine
Errors occur when:
- tape stretches over time / under tension
- markings fade over time / human error
215
How can measurement impact valuation?
If a rate/m2 is applied, then whether internal walls/columns are included could impact the value
If a measurement is incorrect, this can cause a valuation to not be accurate.
216
What needs to be included on measurement reports?
- Date of measurement
- Method
- Measurement basis
- Plan with reference and scale
- Units
- Accuracy tolerance
- Name of surveyor
217
How are measuring standards governed within the RICS?
Code of measuring practise 2015
- bases of measurement for all buildings except office/residual e.g. retail, industrial
RICS Property Measurement 2018
- bases of measurement for offices & residual property.
218
What are the core definitions in the Code of Measuring Practise 2015?
GEA - Gross External Area
GIA - Gross Internal Area
NIA - Net Internal Area
219
Tell me about IPMS
International Property Measurement Standards (2023)
Seeks to harmonise standards for measuring all building types
220
What is the accuracy of a Trimble GPS device?
- Up to 2.5cm accuracy
- Does depend on the location
- Tolerance is displayed on the screen
221
What Professional Statement did the RICS release to incorporate the International Property Measurement Standards?
What is the aim of this?
RICS Property Measurement, 2018
Establish consistencies in property measurement to be adopted by governments and industry on a global basis
222
When would you use GEA as a basis of measurement?
- Town planning
- Council tax valuations
- Building cost estimates for houses
223
When would you use GIA as a basis of measurement?
- Industrial/warehouses, retail warehouses and food stores:
* Estate agency
* Rating
* Valuation
- Building cost estimates for commercial assets
- New homes valuations
224
When would you use NIA as a basis of measurement?
Shops/Offices:
* Estate agency
* Rating
* Valuation
225
What is the internal eaves height?
The clear height between the floor and the lowest point on the underside of the roof e.g. at the eaves
226
What is the site depth?
The measurement from the front to rear boundaries
227
What are commonly used measuring tools?
- Tape measure
- Rod
- Laser device
- Trundle wheel (used for measuring land)
228
How do you check the accuracy of your laser measuring device?
- Check a known distance and record the measurements in a log
- Send devices to be calibrated at least quarterly or if accuracy begins to deteriorate
229
What is the difference between Raster Data & Vector Data?
Raster Data -
Geographic data represented as a matrix of cells, each with an attribute.
e.g. Pixels on an Ariel photo
Not scalable
Vector Data -
Geographic data symbolised as points, lines, or polygons.
e.g. Fence lines, ownership titles
Scalable
230
What are the Land Registry compliance standards for plans?
Plans require:
- Appropriate scale (1:1250, 1:2500)
- Orientation (North Arrow)
- Sufficient OS mapping background
- Identifying location features (e.g. road name)
- Scale Bar
- Whole property
- accesses
- Property clearly defined by edging, colouring or hatching
231
If your measurements were challenged, what could you do?
- Meet with the client to understand concerns and explain methodology
- Offer to remeasure with them
- Ask if they had a preferred alternative method
232
What makes reliable data?
- Reliable, reputable source
- able to cross-check
- up-to-date
- Peer reviewed
233
What does GIS stand for?
Geographic Information System
234
What GIS platforms do you use?
QGIS
235
What types of GIS data do you use?
Raster & Vector Data
236
How did you use GIS to benefit your client?
GIS allows us to present clients with a visual representation of a scheme whilst storing important information through shapefiles. It is easy to navigate and increases the efficiency of a number of schemes.
E.g. we can create a shapefile which accurately reflects the area of a property, whilst storing landowner information.
237
What type of equipment would you use for mapping out a boundary?
A Trimble device and wooden stakes.
238
The Bribery Act 2010
The Act covers the different types of bribery, the different levels of punishment, and the procedures that organisations can put in place to prevent people associated with them from bribing.
239
The RICS Professional Standard on Conflicts of Interest
This explains how we should not advise a client where doing so would involve a conflict of interest or the risk of a conflict of interest, unless prior informed consent has been provided.
240
Data Protection Act 2018 & General Data Protection Regulation (GDPR) 2016
The Data Protection Act 2018 is the implementation of GDPR, which controls how personal information is used by organisations and businesses, and highlights the data protection principles that must be followed when using or storing personal data.
241
Equality Act 2010
The equality Act 2010 legally protects people from discrimination in the workplace and in wider society. It covers different types of discrimination and what action can be taken.
242
Building Act 1984
The act sets out the various rules and regulations surrounding the construction and maintenance of buildings, and helps to ensure that the safety and wellbeing of occupants is protected.
243
Health & Safety at Work Act 1974
The Health & Safety Act 1974 places a duty on employers to ensure that that health, safety and wellbeing of employees and other affected persons is not at risk, so far as is reasonably practicable.
244
What are the 3 Stages of Anti Money Laundering
1 - Placement
2 - Layering
3 - Integration or Extraction
245
RICS Surveying Safely 2018
Provides an overview of best practice for surveyors relating to health & safety.
246
What is Mediation
A form of dispute resolution which includes an informal process involving a 3rd party mediator allowing both parties to a adopt a flexible approach in reaching an outcome allowing relationships to be maintained. The mediator has no legal authority and the process is not binding.
247
What is conciliation?
Similar to mediation in a supported style of negotiation, but if negotiations break down, the conciliator prepares a recommendation on how the dispute should be resolved. If there is no objection within a month, this becomes final and binding.
248
What is Dispute Resolution
the process of settling disagreements between parties
249
What is a Book of Reference?
A B.O.R sets out relevant land & Land interests, which are to be affected by a CPO.
250
What is a CPO?
a process which allows certain bodies ( ‘acquiring authorities’) to buy land or acquire third party rights to it without the consent of the owner.
251
What is an FBT?
A Farm Business Tenancy is an agreement between a landlord who owns agricultural land and a tenant who, by paying rent, exclusively occupies that land for the purpose of operating a farming business.
252
What is the hedge and ditch rule?
the property boundary is presumed to be on the opposite edge of the ditch from the hedge. If the hedge appears to belong to you within the legal title, it is presumed that you will also own the ditch on the other side.
253
What is QGIS
A geographic information system used for creating, editing and analysing geospatial information.
254
What is GIS?
Stands for Geographic information systems, and is a Geospatial system used to record, manipulate and display data
255
Landlord and Tenant Act 1954
Governs the rights and obligations of landlords and tenants of premises which are occupied for business purposes.
256
What is a Deed of Surrender?
A deed of surrender is used when a tenant wants to end their tenancy agreement early and vacate the property.
257
What are the 3 pillars of sustainability?
- economic
- social
- environmental
258
Someone comes in and offers to pay you with £15,000 in cash. What do you do?
My firm has its own policy not to accept cash payments so I would refuse.
259
You have done a good job and your client wants to give you a bottle of champagne - can you accept it?
If the gift is proportionate to the instruction, is at the end of the instruction and is not being offered unethically as an attempt to gain an advantage - Yes.
And then record this on my companies gifts and hospitality register.
260
What is the maximum fine under the Bribery Act?
Unlimited
261
What is your company's ethics and anti-bribery policy?
Ethics Policy:
- In line with the RICS rules of conduct
Anti-bribery:
- In line with the RICS guidance, stating the process for if a bribe is identified, the consequences of bribery and the punishments associated.
262
What are the 5 principles of better regulation?
What are the purpose of these / who do they effect?
1 - proportionality
2 - Accountability
3 - Consistency
4 - Targeting
5 - Transparency
263
Rules of conduct - an example of each of these rules in practise?
Be honest & Act with Integrity -
An agent had submitted an invoice for their fees that was lower than what it should have been based on Ryde's scale. I responded to inform them off this and requested that they sent a new invoice with the correct figure attached.
Maintain Professional Competence -
I have and will continue to make sure I complete the required CPD each year, and I often attend training courses to ensure I maintain competent with the work I am doing.
Provide good quality and diligent service -
I aim to understand the clients objectives prior to taking on work and I ensure to maintain good communication throughout.
Be respectful and encourage diversity and inclusion -
I have carried out iHasco training on diversity and inclusion, and I make sure to treat all members of staff with respect.
Take responsibility and act in the public interest -
I have dealt with complaints as a result of instructions that I have been involved with.
264
What action can the RICS take against members and firms who breach the rules of conduct?
- Investigation
- Disciplinary process
- Regulatory compliance order
- Sanctions (including fines or expulsion)
265
What are members professional obligations to the RICS?
- Must comply with CPD requirements
- Must cooperate with the RICS
- Must provide all information reasonably requested by the Standards and Regulation Board
266
What are the firms professional obligations to the RICS?
1 - Complaints Handling Procedure
2 - Appropriate PI cover
3 - Must make arrangements for cover in the event of death or incapacity
4 - Must cooperate with the RICS
5 - Must provide all information reasonably requested by the Standards and Regulation Board
6 - Must display on their business literature a designation to denote they are members of the RICS
7 - Must report any matter that they are required to under the rules of registrations for firms.
267
What is included in my firms Complaints Handling Procedure?
- Who to address the complaint to
- Timeline for acknowledgement and response
- How complaint will be investigated and handled
- Means for further recourse if not satisfied with the response
268
If you've done a good job for a client and they want to thank you by offering a bottle of wine, can you accept?
What if the gift was a new car?
What governs your decision making here?
If the instruction is finished and the offer is genuine, reasonable and proportionate, then yes I would accept the bottle f wine and record this on the gifts and hospitality register.
A car would not be reasonable and proportionate - I would decline and record this on the gifts and hospitality register.
- Bribery Act 2010
- My Firms anti-bribery policy
269
If a client doesn't have a client account with your firm, and they ask you to hold funds for them in your firms account, can you do this?
No - you can not mix client and firm money.
270
If a client wants to pay their fee in cash, can you accept?
My firm has its own policy not to accept cash payments so I would refuse.
If I was at a company who did not have this policy, the maximum cash payment allowed is $10,000 and any large transactions I would ensure to do relevent AML checks.
271
What is money laundering?
What are the 3 stages?
the concealment of the origins of illegally obtained money.
Placement, Layering, Integration / Extraction
272
What anti-money laundering legislation is currently in force in the UK?
What are the penalties for failing to comply with these acts?
Countering bribery, corruption, money laundering and terrorist financing (2019) -
unlimited fine and/or imprisonment up to 2 years
Proceeds of Crime Act and Terrorism Act -
up to 14 years prison sentence and/or fine
273
What is the difference between primary and secondary ID?
Primary ID – photographic and personal details – name /DOB etc
Secondary – utility bill or bank statement confirming address
274
What regulations govern data protection?
General Data Protection Regulation (2016)
275
What do you need if setting up your own practise?
- Insurance for public liability, employees, buildings, contents, vehicles, Professional Indemnity
- Complaints handling procedure
- Health & Safety policy
- Employees
- A bank account
- A website
- A business plan
276
Who do RICS rules protect?
- me
- The public
- Clients
- The rest of the profession
277
How are valuations regulated by the RICS?
- The RICS Red Book
- Registered valuers system
278
How would you deal with a conflict of interest on a valuation job?
- Identify the conflict of interest
- Inform the client of the conflict of interest
- If they are happy for me to proceed, obtain informed consent in writing
- Manage the conflict of interest
279
How do you deal with sustainability in your job for you and for your client?
- The office recycles
- We share lifts when going on site or to meetings in person
- Use teams for meetings when appropriate
280
Who is the chairman of the RICS?
Martin Samworth
281
How much CPD is needed after qualifying?
What counts and how do you record it?
20 hours, 10 must be formal CPD
Training by internal specialists, External Training courses
Recorded on the RICS CPD section within the ARC platform.
282
Give examples of what counts as clients' money?
Where and what are RICS members' accounts rules?
Money held or received as:
- Rent and service charges
- arbitration fees
- Client money held but due to be paid to contractors
- Interest credited to a client account
RICS Client money handling
- Sets out how client money should be handled
283
What is the difference between a balance sheet and a profit and loss?
On which side would liabilities be shown?
a balance sheet shows the value of everything that the company owns, owes (liabilities) or is owed on the last day of the financial year
a profit-and-loss account shows the company sales, running costs, and the profit or loss that it has made over the financial year
284
Difference between an arbitrator and an expert witness?
An arbitrator can not decide without receiving evidence from the parties, and are immune from liability in negligence.
An expert witness base their decision upon their own knowledge and investigations, and may be sued for negligence.
285
What is the maximum penalty for a breach of GDPR?
Financial Penalties of up to 17.5 million or 4% of global turnover, whichever is higher.
286
What is the minimum EPC rating for a commercial property?
Do all properties need EPC?
Rating E
No: Buildings that don't need EPC include:
- Temporary buildings used for less than 2 years
- Industrial sites, workshops and non-residential agricultural buildings that don't use a lot of energy
- Buildings that are due to be demolished
287
What is the difference between a tenants improvement and a tenants fixture?
If permission was given for a fixture, it becomes an improvement.
Fixture - if no permission was given, the landlord can ask the tenant to remove it at the end of the tenancy.
Improvement - If permission was given, the Tenant can be entitled to compensation
288
Explain the procedure of valuation from the initial telephone call through to issuing the final report
- Initial phone call
Understand the requirements and assess if you are competent to take on the instruction
- Check sufficient PII insurance is in place to cover the instruction
- Conflict of interest and anti-money laundering checks
- Agree terms of engagement
- Carry out the valuation using the most appropriate method of valuation
- Peer review
- Issue the report in the correct format so that it can not be amended, e.g. PDF or paper copy.
289
Who pays for a bank valuation of a secured lending?
Whoever is making the application.
290
How would you value a shop?
Zoning
291
In what circumstances would you serve a blight notice?
Where the property is earmarked for public works and you want to request the authority to purchase it at the full market value.
292
What are the 3 types of conflict of interests?
- Party conflict
- Own interest conflict
- Confidential information conflict
293
What is a "chinese wall" and was it is now referred as?
An information barrier preventing confidential information passing between those in the same firm, e.g. separate working locations, password locked files.
294
What is the RICS professional standard for Money Laundering & Bribery?
Countering bribery, corruption, money laundering and terrorist financing (2019)
295
GIS - What is a shapefile?
a shapefile is a geospatial data file that records the shape, size and location of an item that has a place in the world, allowing to also add additional attributes to record the data that clients are interested in
296
GIS - How is using GIS beneficial, e.g. for N-Gen?
Allows me to provide my client with a visual representation of data and information surrounding a scheme. It is easy to navigate and user friendly, and the ability to present all the required information within shapefiles, improves the efficiency of a scheme.
297
GIS - What is GIS?
A GIS (Geographical Information System) is a Geospatial system used to record, manipulate and display the data that you want to illustrate with a spatial element
298
Measurement - What are the main types of measurement?
GEA - Gross External Area
GIA - Gross Internal Area
NIA - Net Internal Area
299
Measurement - What measurement did you use when measuring Towngate Farm? And why?
GIA - Gross Internal Area
The measurement was for valuation purposes, and is also the measurement used for the pricing provided by the Building Cost Information Service.
300
Inspection - What is a risk? What is a hazard?
Hazard - anything that could cause harm
Risk - combination of:
- likelihood of occurrence
- severity of outcome
301
CP and Comp - What is the no-scheme rule and what is the Point Gourde principle?
This is where the effect of the scheme underlying a CPO is required to be disregarded in assessing compensation.
302
CP and Comp - What heads of claims are expected in a utility / National Grid scheme?
Disturbance only
303
CP and Comp - What heads of claims are expected in a claim surrounding a CPO?
Land Taken
Disturbance
Loss Payments
Severance & Injurious Affection
304
CP and Comp - Interests in table 2?
Lesser interests, e.g. people with rights of way, easements, mortgages, restrictive covenants.
305
Access and Rights - What act is a s.6 served under?
Northwest Water Authority Act 1977 -
NOT the Water Industry Act 1991!!!
306
Access and Rights - Who are relevant interests? E.g. when serving a notice?
Anyone with a legal interest in the land concerned, such as land owners and leaseholders
307
Valuation - What are the basic principles of a DCR valuation?
The depreciated replacement cost method of valuation is calculated by identifying the cost of building the equivalent building, reduce by a factor to reflect its age and level of depreciation, plus the cost of purchasing the land.
308
Valuation - How did you establish the yields used for the Meco valuation?
I established a yield of 10% through discussions with local agents for open-storage yields in the location.
This was used for the term.
I then increased the yield to 11% when calculating the reversion to reflect the increase risked.
309
Valuation - You mentioned on the Meco valuation that no deductions were required as it was on FRI terms. What deductions would usually be required?
- Maintenance & repair costs
- Service charges / Running costs
310
Valuation - What are the mandatory reporting requirements?
Set out in VPS 3
Sets out what should be included within a Red Book Valuation, e.g.
- Valuer & Client Details
- Assumptions and Special assumptions
- Purpose and basis of valuation
- Valuation date
311
Valuation - What PI do we have, e.g. for the Bank valuation?
Bell Ingram have professional indemnity insurance in place with a limit of indemnity worth £10,000,000.
312
Measurement - Where would it be appropriate to use GEA?
- Town planning
- Council tax valuations
- Building cost estimates for houses
313
Measurement - Where would it be appropriate to use GIA?
- Industrial/warehouses, retail warehouses and food stores:
* Estate agency
* Rating
* Valuation
- Building cost estimates for commercial assets
- New homes valuations
314
Measurement - Where would it be appropriate to use NIA?
Shops/Offices:
* Estate agency
* Rating
* Valuation
315
Access & Rights - Where is a necessary wayleave in the Electricity Act 1989?
Schedule 4 of the Electricity Act 1989
316
What has been abolished from the AHA Succession process / Eligibility test?
The commercial test
317
What is a firms minimum limit of indemnity?
Depends on the firms turnover in the previous year:
£100,000 or less = £250,000
£100,001 - £200,000 = £500,000
£200,001 and above = £1,000,000
318
What is a firms minimum run-off cover?
A minimum of £1,000,000 in all for a period of 6 years.
319
What is Professional Indemnity Insurance?
Insurance which covers the cost of compensating clients for loss or damage resulting from negligent services or advice provided by a business or an individual.
320
What is Run off cover?
What is the minimum policy requirements / minimum run-off cover for an RICS accredited company?
professional indemnity insurance cover provided for the past liabilities of a business once it has ceased trading.
A minimum of £1,000,000 in all for a period of 6 years.
321
What is Public Liability Insurance?
What is Bell Ingram's Policy cover?
Insurance which covers the cost of claims made by members of the public for incidents that occur in connection with business activities.
£10,000,000
322
What is employer's liability?
What is Bell Ingram's cover / Indemnity limit?
Insurance which covers the costs of employee claims for illness or injury caused by their work due to employers' negligence.
£10,000,000
