Conflict avoidance, management, and dispute resolution procedures

Question 1

What is the difference between terms of business and terms of engagement?

Question 2

What are the advantages of independant expert determination?

Answer 2

• Speed and specialtist knowlage
• Both parties are bound by decision (good if in your favour)

Question 3

What are the disadvantages of independant expert determination?

Answer 3

• Both parties are bound by your decision (not good in not in your favour)

Question 4

What are the advantages of arbitration?

Answer 4

• Fast
• Cost effective
• Confidential
• Parties bound by decision (good if in your favour)

Question 5

What are the advantages of arbitration?

Answer 5

• Parties are bound by decison (not good if not in your favour)
• Decisons can be over ruled by court of appeal on point of law

Question 6

What is covered in the RICS GN on Complaints handeling?

Question 7

What is a conflict of interest?

Answer 7

A situation where there is actual. perceived or potential risk that the proffesional judgment of a member of firm is compromised when undertaking an instruction

Question 8

What are the advantages of mediation?

Answer 8

• Confidential
• Informal

Question 8

What are the diadvantages of mediation?

Answer 8

• Mediator has no decision making authority and cannot impose a resolution

Question 8

What RICS document covers conflicts of interest?

Answer 8

RICS Globall Proffesional Statment on Conflicts of Interest 2017
- Members and firms must not represent a client where there is a comflict of interest or significant risk of one. Other than where all those who are, or may be affected hace provided informed consent
- Informed consent may only be sought if the member or firm belives it is still in the best interest of all affected to act and it is not prohibited by law

Question 9

How to avoid conflicts?

Answer 9

• Clear consice and careful drafting of contract/lease/documentation
• Risk analysis - what could go wrong? how can misentrpretations arise
• Manage all parties expectations by understanding and comuinicating objectives. Implement early warning systems - serviing approprite notices
• negotiate contractual obligations carfully and transparently to avaoid conflict/enable resolution
• Keep good records

Question 10

What are the 3 pillars of dispute resolution?

Answer 10

1. Negotiation - between parties themselfs
2. Mediation - 3rd party asists but not a binding decision
3. Adjudicative process - 3rd party decision such as litigation or arbitration

Question 11

What is alternative disupte resolution and some examples?

Answer 11

Disupute resolution techniques that fall outside of the scope of litigation
* Mediation
* Arbitration
* Independent expert determination
* Early Neutral Evaluation

Question 12

Advantages of ADR?

Answer 12

• Quicker than court proceedings
• Informal
• Greater oppertunity for negotiation
• less costly (proffesional fees of litigation)
• Quality of decision making (surveryor rather than judge)
• Confidential

Question 13

What is mediation?

Answer 13

• Neutral mediator - facilitates discussions to explore solution
• Confidential and informal
• Useually conducted on ‘without prejudice’ basis
• Mediator cannot impose decision
• RICS Guidance Note on Mediation 2014

Question 14

What is Arbitration?

Answer 14

• Appointed in quasi-judicial role - Arbitration Act 1996
• Parties bound by decision
• Can order hearing or written representations
• Have specalist knowlage of subject - cannot be sued for negligence but decisions can be over ruled by court of appeal on point of law

Question 15

Who can act as arbitrator?

Answer 15

Surveryors can act if have passed Chartered Institute of Arbitrators exams

Question 16

What is Independent Expert Determination?

Answer 16

• RICS Guidance Note Independant Expert Determination 2016
• Have expert knowlage
• Both parties bound by decision
• Received evidence from both parties and can use own opinion or evidence

Question 17

What if a service charge dispute?

Answer 17

RICS Panel of Independent Experts for Service Charge Dispute Resolution

Question 18

What are the differences between Arbitration and Independent Expert Determination?

Answer 18

• Arbitration is less costly
• Independent expert you receive an experts opinion
• They are both fast and confidential

Question 19

What is early neutral evaluation?

Question 20

What is acting as an expert witness?

Answer 20

• When a survyor provides evidence to a judicial or quasi-judical body
• Primary and overiding duty of care is to court not to your client who is paying your fees
• Must provide Statement Of Trust confirming you will act impartially and objectivly
• Suveryor should only accept instruction if have knowlage, experience, qualifications appropriote training and NO CONFLICTS