Ethics and Rules of Conduct Flashcards
(87 cards)
1
Q
What are the 5 RICS Rules of Conduct?
A
- Members must be honest, act with integrity, and comply with their professional obligations.
- Members must maintain professional competence and ensure services are provided by competent individuals.
- Members must provide good-quality and diligent service.
- Members must treat others with respect and encourage diversity and inclusion.
- Members must act in the public interest and take responsibility for their actions.
2
Q
How can members comply with the RICS rule of honesty and integrity?
A
By acting with integrity and completing at least 48 hours of CPD as an APC delegate.
3
Q
When was RICS founded?
A
1868
4
Q
Define a conflict of interest.
A
A situation in which a firm or member’s duty to act in the interests of a client conflicts with a duty owed to another client.
5
Q
What should you do if you identify a conflict of interest?
A
Advise clients of the conflict and obtain prior informed consent from all parties before proceeding.
6
Q
Can you be paid in cash for your services?
A
Yes
7
Q
What steps should be taken when receiving cash payments?
A
Make a note of all transactions, give a receipt, and deposit the cash as soon as possible.
8
Q
How should you handle an informal complaint from a client?
A
- Direct them to your complaints handling officer.
- Maintain professionalism and log the complaint.
9
Q
What implications does the building safety act have for a QS?
A
- More core’s in HRB.
- Design and cost implications requiring more involvement from QS in the design stage.
10
Q
What is the CPD minimum requirement for a qualified surveyor?
A
20 hours a year
11
Q
What is the run-off requirement on professional indemnity insurance?
A
RICS expects 6 years from cessation of the practice.
12
Q
How do you establish the level of PI cover required?
A
Minimum level of cover should be based on previous years’ turnover:
- £100k or less turnover - £250k
- £100k - £200k turnover - £500k
- £200k or over - £1,000,000
13
Q
Name some key documents relating to RICS competency.
A
- Anti-bribery
- Countering money laundering
- Surveying Safely
- RICS rules of conduct
14
Q
Where can more information on the RICS CPD policy be found?
A
CPD decision tree
15
Q
What is the RICS decision tree?
A
A decision-making framework to deal with ethical dilemmas, considering various questions for informed decisions.
16
Q
How do I act in the public interest?
A
- Follow safety legislation and standards.
- Adhere to RICS rules of conduct.
17
Q
What legislation is associated with bribery?
A
Bribery Act 2010
18
Q
How do I prevent harm in a work environment?
A
- Use PPE on site.
- Maintain a healthy office environment.
- Stay up to date with legislation.
19
Q
How do firms register with RICS?
A
Download and submit the application form, then complete registration through the Firms Portal.
20
Q
What are the RICS minimum requirements for firm regulation?
A
- Offer professional services in surveying disciplines.
- Have at least 25% of principals qualified RICS professionals.
- Comply with RICS Rules of Conduct for Firms.
21
Q
What should happen in the event of a colleague’s death on site?
A
- Report the incident to HSE.
- Investigate and identify root causes.
- Seek appropriate legal advice.
22
Q
How do firms protect employees?
A
- Implement health and safety management systems.
- Provide appropriate training and a safe work environment.
23
Q
What did the recent RICS statement say about PII?
A
RICS requires insurers to provide PII cover for fire safety claims for buildings 18m and above.
24
Q
What measures do firms take to comply with bribery laws?
A
- Not offer or accept bribes.
- Have compliance plans and report breaches.
- Perform periodic written evaluations of risks.
25
What is a run-off period?
An insurance policy provision covering claims against companies that have ceased operations.
26
What governs the RICS structure?
The Governing Council approves RICS strategy and vision, overseen by the management board and the standards and regulations board.
27
What does the royal charter mean for RICS?
It requires RICS to act in the public interest.
28
What material was banned in 2018?
Combustible materials in and on external walls on HRB, as a result of Grenfell.
29
What sits above the RICS governing council?
The privy council, which is part of the UK government.
The Privy Council formally advises the sovereign on the exercise of the royal prerogative.
Changes to RICS bylaws can only be changed with approval of the privy council and a membership vote.
30
What are the RICs rules of conduct for firms?
Same as for members.
31
What is the role of RICS?
To advance the highest ethical and technical standards.
To protect clients and consumers by enforcing standards and code of best practice.
To provide expert impartial advice.
32
What is your RICS membership number?
0881344
33
Who is the president of the RICS? Who is the current CEO? Who is the chair of the the board?
Nicholas Maclean is current acting president, after Justin Sullivan stepped aside whilst the regulatory process takes place investigating his role as an expert witness.
Justin Young is current CEO of RICS board.
Martin Samworth is the chair of the RICS board.
34
Who is the head of regulation board in the RICS?
Nigel Clarke is the chair of the standards and regulations board.
35
What role does the standards and regulations board play?
The S&R board delivers independant professional regulation within the RICS, acting in the public interest to uphold standards. It strengthens trust and confidence in the profession through:
- Setting and upholding the standards of entry and assessment to the profession.
- Responsible for professional standards, including approving technical standards, setting conduct standards and developing regulatory policy.
- Developing, setting and upholding the professional standards of RICS' dispute resolution service.
- Using targeted, proactive regulatory compliance, enforcement and assurance activities to regulate RICS members and firms.
36
Who is head of the privy council?
Lucy Powell
37
How many members of the RICS are there?
140,000 members operating out of 146 countries.
38
What is Lionheart? What is it's purpose?
An independent charity run by RICS professionals, for RICS professionals.
Benevolent fund established over 100 years ago.
Services include a range from financial support, health and wellbeing packages, free professional counselling, work related support and legal advice.
39
Why do you want to be a chartered surveyor?
RICS is the largest and most prestigious international property institution in the world.
I will receive global recognition and become part of an international professional community.
I will have elite professional status, guidance, information and support.
40
What is a RICS professional statement?
Mandatory requirements for RICS members and regulated firms.
41
What do you know about the bribery act?
It is legislation that makes bribery illegal for companies working in UK.
Also holds UK companies accountable for failing to prevent such acts by those working for or on its behalf, no matter where the act takes place.
42
What should you send accompanying a fee proposal?
A set of T&C's.
A scope of services document.
43
Can you explain how you act with integrity?
Do not mislead others.
Being open and transparent in the way I work.
Not offering or accepting gifts, hospitality or services.
44
Can you explain how you provide a high level of service?
I always ensure my client receives the best possible advice and support.
I act within my scope and competence.
I am transparent about fees and communicate in a way that allows my client to make informed decisions.
45
Can you explain how you promote trust?
Act within my scope of competence.
Provide a high level of service.
I am open and honest.
I act in a trustworthy manner.
46
What insurances would you need if you were starting up your own firm?
Professional Indemnity Insurance.
Employer's liability.
Public liability.
Building's insurance of an office premises.
47
What must a complaints handling procedure include?
The process must include a redress mechanism.
It must be clear, quick, transparent and impartial and free of charge within the first stage.
Names and contact details of the nominated investigating person must be stated.
The complaint must be investigated within 28 days.
All complaints, their progress and and outcomes must be recorded.
We must note the need to advise PI insurers of a complaint immediately.
48
What is the 5 principles of BETTER regulations?
- Accountability.
- Targeting.
- Proportionality.
- Consistency
- Transparency.
49
What are professional obligations for firms?
- Reporting on any matters required to be reported to RICS.
- Provide all works.
50
What are the steps of the RICS ethical decision tree?
- Do you have sufficient facts on the issue?
- Is it legal?
- Is it in line with RICS rules of conduct?
- Have you consulted with appropriate people to make an informed decision?
- Do you have clear reasoning in reaching your decision?
51
How many ethical standards are there?
The ethical standards were combined with the rules of conduct after members voted to combine them into one document.
The standards are:
- Act with integrity.
- Provide a high standard of service.
- Treat others with respect.
- Promote trust in the profession.
- Take responsibility.
52
What is the difference between ethics and rules?
Ethics are a set of moral values.
Rules are a framework/regulations that we work to.
53
What are the professional obligations of members?
- Members must complete the CPD requirements of 20h a year, 10h being formal.
- Members must cooperate with RICS.
- Members must promptly provide all information reasonably requested by the S&R board.
54
What is the Assigned Risk Pool?
The ARP panel is a facility for trading members / firms who find themselves unable to obtain insurance in the open market.
It comprises a panel of a RICS chairman, members of professional indemnity insurers and RICS members.
The initial period of cover is 12 months, to allow the firm to return to the open PII market.
55
What does the RICS advise as the maximum level of uninsured excess on a PII policy?
Firm turnover in the preceding year:
£10m or less - the greater of: 2.5% of the sum insured, or £10,000.
£10,000,001 and above - No limit set.
56
In the case of a breach of a rule of conduct, what is the procedure?
Not every shortcoming will necessarily give rise to proceedings.
A formal investigation by the Head of Regulation of the RICS is the first step in the process.
The RICS can request information and/or visit and inspect to investigate compliance.
Members must cooperate fully with all enquiries.
57
How can a disciplinary proceeding be triggered?
Someone complaining to the RICS.
An allegation by a client or third party.
Information received or established by the RICS.
58
What three actions can be imposed after the end of the investigation stage?
Fixed penalty.
Consent order.
Disciplinary panel.
59
What are fixed penalties?
A fine by the RICS.
60
What is the RICS mission statement?
- Promote and enforce standards.
- Qualify and equip members for the highest level of service.
- Lead solutions to the major challenges facing the built environment through professional expertise.
61
What are the professional obligations on firms?
- Comply with CHP.
- Ensure previous and current work is covered under a PI.
- Companies with a sole principal, must make measures to ensure professional obligations are upheld in case of incapacity.
- Firms must cooperate with the RICS.
- Firms must provide info requested by the S&R board.
- Firms must display that they are RICS accredited.
- Report anything that the rules of registration require reporting.
62
What are the steps of RICS ethics decision tree?
- Do you have sufficient facts on the issue?
- Is it illegal?
- Is it line with RICS rules of conduct?
- Have you consulted with appropriate people to make an informed decision?
- Do you have clear reasoning in reaching your decision?
63
What do you need to do if setting up a business?
- Notify companies house.
- Obtain PII & employers liability.
- Inform the RICS of your intentions.
- Prepare a complaints handling procedure.
- Set up financial accounts.
- Abide by rules of conduct.
- Use appropriate RICS designations.
64
What would you do if you suspected money laundering?
1. Report to line manager/money laundering officer.
2. Report to national crime agency and complete a suspicious activity report.
65
What sort of things must a regulated firm do in relation to money laundering & terrorism financing?
1. Not facilitate or be complicit.
2. Have training in place.
3. Report suspicions.
4. Understand client and purpose of transactions.
5. Verify client & basic identity checks.
6. Audit trail of how firm met requirements of RICS.
66
Name 3 types of conflict of interests?
1. Party conflict - conflicts with a duty owed to another client or party in relation to the same professional assignment.
2. Own conflict - conflicts with the interests of the same RICS member/firm.
3. Confidential conflict - Keeping the information confidential between one client and another.
67
Example of a conflict of an interest?
If Mace were to act as the consultant and the contractor on the same job.
68
What is modern slavery?
- Illegal exploitation of people for personal or commercial gain. Modern Slavery Act 2015.
69
Examples of Modern Slavery?
1. Forced labour.
2. Human trafficking.
3. Child slavery forced marriage.
70
How would you report modern slavery?
Modern slavery helpline or police.
71
With regards to client's money, how should you name the bank account you are required to set up for this purpose?
You should ensure that all client money accounts include the word 'client' (written in full) and the name of the firm in the title of the account.
72
What types of client accounts are there?
General - Several client's money is paid into this account, with a ledger showing the relating transactions.
Discrete - An account for one specific client.
73
What is locum?
A firm which has a sole principal must have appropriate arrangements in the event of that principal's death or incapacity.
Another professional who is appointed to 'stand in' for the surveyor if they are unable to work.
74
What are the 6 principles of the Bribery Act 2010?
1. Proportionality.
2. Top Level Commitment.
3. Risk Assessments.
4. Due Diligence.
5. Communication.
6. Monitoring and review.
(Avoid facilitation payments, making a bribe, receiving a bribe)
75
What is the difference between ethics and integrity?
Ethics are societal standards of right and wrong, whereas integrity is an individuals consistent adherence to ethical principals, reflecting personal honesty and moral character.
76
Under the bribery act, when is a facilitation payment permitted?
When you are under duress, and if there is a real risk to your life.
77
What is a consent order?
RICS Consent Order is a formal written agreement between RICS and a Regulated Member (either an RICS professional or a RICS-regulated firm). The order requires the member or firm to take or refrain from taking certain actions within a specified period of time, and to pay a fine and/or costs where appropriate.
78
Assuming you pass today, you may choose to set up your own business as a chartered surveyor. What are the first things you would do?
- I would register with companies house.
- I would register with RICS.
- I would establish insurances - PI, Employer, Building etc.
- I would establish PAYE if hiring employees.
79
What is whistle blowing and why does it exist?
Whistle-blowing is the action someone takes to report wrongdoing at work that affects others. It exists to provide workers with a way of disclosing something without fear of retribution from the employer, as they are protected by the Employments Rights Act 1996.
80
How would you approach a conflict of interest?
- Ensure all parties are aware.
- Discuss with parties and relevant work colleagues, log it.
- Obtain prior informed consent if client would like to proceed regardless.
81
If you had submitted a fee proposal to a new client and were keen to win the work and they turned around and said, knock £50k off the fee to make it the lowest, how would you respond?
I would sit down with the client to understand basis of the reduction, I wouldn't be able to accept if no justifiable reason but could review fee to understand if there is potential to change e.g. level of resource or reduce scope of services for the desired budget.
82
If a friend came to you asking for some QS advice as a favor, what would you say?
- Explain as i don't have personal PI, i can't give them that advice, but I would direct them to the right people in my company to provide it in a professional manner.
83
Give me two examples of how you follow the RoC in your daily working life?
- I try to encourage inclusion (rule 4) by ensuring all members of a team speak in any meetings i am chairing
- I always ensure that clients are receiving competent service, i.e. where a client requires complex M&E cost advice, i would consult with a M&E colleague.
84
How have you promoted RICS in the last month?
Discussed the benefits of RICS with graduates at Mace.
85
How doe RICS impact your personal life?
The rules of conduct provides a good ethical framework which i try to emulate in my personal life.
86
You state in your submission that an invitation to lunch could be construed as a conflict of interest? How is this so?
Upon further reflection, I realized it wouldn't class as a conflict of interest, but I would still decline due to wanting maintain my professionalism and impartiality during the tender process.
87
Why else would you not provide VAT advice?
We are not specialists and it would not be covered under our PII cover.
