Ethics, Rules of Conduct & Professionalism Flashcards

Question

Name 3 example behaviours to comply with Rule 5.

Answer 1

- Support clients / colleagues reporting concerts in good faith - Don't dissuade potential claimants - Cooperate with complaints investigations - Manage professional finances responsibly - Ensure public statements don't undermine profession - Take appropriate action if rules have been breached

Answer 2

- Being trustworthy - Being open and transparent in the way I work - Respect confidential information - Don't take advantage of others - Not being improperly influenced in my decisions

Answer 3

- Being accountable for my actions - Ensure appropriate complaints handling procedure in place - Act with skill, care and diligence - If I think something isn't right, respectfully challenge and raise matter with colleagues

Answer 4

- Treat everyone with courtesy, politeness, consideration - Never discriminate against anyone

Answer 5

- Ensuring I have professional responsibility, resources and experience to give best possible advice and support - Acting within my scope of competence - Transparency with fees - Clear communication to allow informed decisions

Answer 6

- Considering how my actions affect others and the environment - Fulfilling professional obligations - Acting in trustworthy manner in both professional and private life

Answer 7

- Keep own actions recorded and under review - Maintain CPD appropriate to their area of work - Follow advice by professional bodies on ethical behaviour - Note any unethical behaviour by others and address where appropriate

Answer 8

- Establish confidential procedures for whistleblowing - Include ethical evaluations in appraisals, employee hiring, contracts and training - Adequate planning, training and performance monitoring - Encourage staff to progress APC and become chartered with RICS - Promote relevant CPD

Answer 9

Ethics is the overall moral picture (lying is wrong) Integrity is more focus on personal characteristics (honesty)

Answer 10

Ethics is a set of moral values Rules of conduct is a framework we work to as professionals

Answer 11

Use of Social Media Guidance, V2 (2024) Overarching principles: Standards expected of members don't change

Answer 12

- Speak with them - Take steps to prevent reputational damage / embarrassment - Raise concerns with superior if I cannot address myself

Answer 13

- International standards; developed with other bodies for global use - Professional statements; mandatory requirements - Codes of practice; either mandatory or professional - Guidance notes; non-mandatory recommendation - Information papers; information / explanation commentary

Answer 14

Suite of guidance notes defining good technical standards for QS' and construction professionals

Answer 15

To ensure I don't advise my clients incorrectly, or this could lead to a complaint / negligence claim

Answer 16

- Verify facts with them - Remind them of duties as member of RICS - Inform RICS, specify my relation and any corrective action they are committed to put in place

Answer 17

Step 1 - Formal Investigation by Head of Regulation Step 2 - RICS requests information, investigates compliance Minor breaches can be dealt with through self-correction or firms’ processes.

Answer 18

- Complaint to the RICS - Allegation by client or third party - Information received or established by RICS

Answer 19

- Fixed penalty - Consent order - Disciplinary panel

Answer 20

- Gross, persistent or willful failure to comply with RICS Rules of Conduct i.e. fraud, dishonesty, conviction of serious criminal offence, gross incompetence, deliberate discrimination, misappropriation of a client's money

Answer 21

- Failure to provide duty of care owed to a client (this is owed to all clients and third parties using reasonable skill and care) - If breach due to negligence, PI claim may arise / damages required to be paid

Answer 22

- Could affect client reputation - Can be difficult to disprove collusion - Undermines tender process - could give other tenderers cause to challenge

Answer 23

Continuing professional development

Answer 24

- Refer to CPD decision tree - Formal = structured learning with clear learning objectives and outcomes - Informal = self-managed learning relevant to professional role

Answer 25

First instance: RICS will provide guidance on how to overcome any issues, caution which remains for 10 years. Second instance: fixed penalty of £150, name publish on a list on the RICS website. Third instance: referral to a disciplinary panel which may result in expulsion

Answer 26

48 hours per 12 month period, with a minimum of 50% formal

Answer 27

* 20 hours per year, with a minimum of 50% formal * All CPD’s must be recorded via the RICS on-line management system.

Answer 28

- Laws set by governing council, forming basis for regulations and Rules of Conduct - Changes must be approved by governing council

Answer 29

- Professional Indemnity - Employer's Liability - Public Liability - Building insurance of office premises

Answer 30

- Client assurance of minimum standard of service - Protects firm and clients - Can encourage repeat business - Access to professional standards and guidance - Demonstrate operation with gold standard - Access to global network of surveyors

Answer 31

- Covers against claims of negligence, error or omission in professional advice / services - Protects client should any advice given lead to loss / damage

Answer 32

* To provide financial cover in the event a client suffers financial loss as a result of a breach of professional duty e.g. neglect, errors or omissions.

Answer 33

- Any one claim - cover up to the full limit for each claim made - Aggregate - cover up to the full limit for all claims

Answer 34

- My firm's PII doesn't cover private advice - I would politely decline - Need to consider potential Conflict of Interest - Suggest friend contacts my firm in business hours and sets up formal appointment or refer to RICS find a surveyor

Answer 35

* 6 years when executed under hand. * 12 years when executed as a deed.

Answer 36

Depends on type of contract execution - Signed on deed - 12 years - Signed underhand - 6 years [RICS recommends 15 years due to Latent Damages Act, which can be brought about 3 years from claim occurring]

Answer 37

- Name of business - Type of business operations - Level of excess - Length of cover - Types of claims covered - Who it's signed by

Answer 38

- Depends on various factors (timing, proportionality, consideration of perceived impartiality if received, who else is receiving gift, is it in line with Rules of Conduct) - Consult Ethics Decision Tree to make informed decision

Answer 39

- Do not accept if likely to compromise integrity / impartiality - Hospitality / promotional / other business expenditure seeking to genuinely promote and improve image of firm is acceptable and key part of doing business

Answer 40

- Acting for both developer and contract - Having other obligations / pressures detracting or affecting relationship with client

Answer 41

- If a party may be adversely affected by a Conflict of Interest, this acknowledges existence of risk, but still agrees they wish to proceed with assignment of regulated member

Answer 42

- As soon as I'm aware, disclose to client in writing and detail nature of the conflict - Only continue working for them if they provide Informed Consent

Answer 43

- Ask self if I could work on project without bias / conflict of interest - Notify client of potential conflict of interest - May need to respectfully decline commission / offer to someone else in organisation who could work without bias

Answer 44

Giving / receiving some kind of advantage in connection with improper performance in a position of trust

Answer 45

* Covers criminal law relating to bribery The offences are:- * Making a bribe. * Receiving a bribe. * Bribery of a foreign public official. * Failure of a corporate entity to prevent bribery on its behalf.

Answer 46

* Proportionate Procedures. * Top Level Commitment. * Risk Assessments. * Due Diligence. * Communication. * Monitoring & Review

Answer 47

- Individuals - max penalty 10 years imprisonment and/or unlimited fines - Corporations face unlimited fine

Answer 48

Criminally disguising and controlling proceeds of criminal conduct by making it appear they have come from a legitimate source

Answer 49

- Raise with a company director - Submit Suspicious Activity Report (SAR) to the National Crime Agency

Answer 50

- I would not accept cash - encourage them to take cash into a bank account (then it's the bank's responsibility to check legitimacy of cash) - If I had concerns about the source I would report it to the National Crime Agency

Answer 51

Payment made to a public / government official acting as incentive to complete an action / process expeditiously to the benefit of the party making the payment

Answer 52

* The RICS provides a model form. * The process must include a redress mechanism. * Details of the policy should be issued to the client with the Terms of Business. * 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 outcomes must be recorded. * We must note the need to advise PI insurers of a complaint immediately. * The process must have two stages as a minimum:- o Stage 1 is where there needs to be consideration of the complaint by a senior member of the firm or the complaints handling officer. o Stage 2 if the issue is not resolved, the complaint is referred to an independent third party with the authority to award redress. The complainant may be expected to contribute towards costs at this stage.

Answer 53

"Professional Standards" and "Practice Information"

Answer 54

- These documents set out requirements for competent and ethical practice - Most are mandatory - Equivalent to old "practice statement" and "code of practice" documents

Answer 55

- These documents provide advice and support to RICS members and firms - Not mandatory - Equivalent to old "guidance note" and "information papers" documents

Answer 56

- Members must comply with the CPD requirements set by the RICS which requires 20 hours of CPD for each calendar year, 10 hours of which must be formal CPD. - Members must cooperate with RICS. - Members must promptly provide all information reasonably requested by the Standards and Regulation Board, or those exercising delegated authority on its behalf.

Answer 57

- Firms must publish a complaints-handling procedure, which includes an alternative dispute resolution provider approved by RICS, and maintain a complaints log. - Firms must ensure that all previous and current professional work is covered by adequate and appropriate professional indemnity cover that meets the standards approved by RICS. - Firms with a sole principal must make appropriate arrangements for their professional work to continue in the event of their incapacity, death, absence from or inability to work. - Firms must cooperate with RICS. - Firms must promptly provide all information reasonably requested by the Standards and Regulation Board, or those exercising delegated authority on its behalf. - Firms must display on their business literature, in accordance with RICS’ published policy on designations, a designation to denote that they are regulated by RICS. - Firms must report to RICS any matter that they are required to report under the Rules for the Registration of Firms.

Answer 58

* A fine by the RICS.

Answer 59

* It is a written agreement between the RICS and a member or firm concerning a disciplinary issue on a breach of the RICS rules. * It can require the member to take certain corrective actions, or restrain them from taking certain actions for a specified period of time and may require them to pay a fine or costs.

Answer 60

* They are used for more serious breaches of conduct. * The panel will usually be held in public. * The burden of proof is on the RICS. * A balance of probabilities approach will be adopted

Answer 61

* Contact the RICS for guidance and obtain a company start up pack. * Inform the RICS and register for regulation. * Appoint a contact officer for all RICS communication. * Prepare a complaints handling procedure. * Obtain Professional indemnity insurance cover. * Abide by the Rules of Conduct for Firms. * Use the designation ‘Regulated by RICS’ on all practice material.

Answer 62

* Yes as long as it is in a trustful and responsible manner in line with the Rules of Conduct for Firms.

Answer 63

* It is called annual return and carried out online. * Failure to do so leads to a fixed penalty. * It includes:- o Type of business and staffing. o Nature of clients. o Training provision. o Complaints handling procedures details and records. o PI insurance details. o Whether the firm holds clients’ money.

Answer 64

* Preserve the security of clients' money which does not belong wholly to the company. * RICS regulated firms that operate a client account must:- o Set clear segregation of duties for employees. o A Principal oversees the client money accounting functions. o Principles cannot override controls. o Competent and knowledgeable staff are to process clients' money with cover provided for long term absence. o Accounting systems and data must be secure. o Client money must be kept separate and clearly identifiable with the word ‘client’ included in the bank account name. o Clients must always have access to funds. o We must agree the terms and advise the client on bank details. o The account must not be overdrawn. o We must maintain client ledgers and provide a running balance.

Answer 65

* General accounts hold money for more than one client. * Discrete accounts reference a single named client.

Answer 66

* This case dates back to 2001 and highlights the importance of having run-off cover in place. * A surveyor was sued for negligence by a former client. * Because the surveying firm was no longer in existence therefore the individual surveyor was pursued for damages successfully. * This caused a big shock in the industry and highlighted the need to ensure that run-off cover is in place for all previous employees.

Answer 67

* The professional is protected from financial losses. * The firm does not have to meet the claim from their own assets and resources.

Answer 68

* They are able to recover their financial losses.

Answer 69

* On a claims made basis * The insurance policy that is in place at the time the breach is discovered is responsible for providing the indemnity, not the insurance policy in place when the breach was made.

Answer 70

* The policy cover must be made on an ‘each and every’ claim basis. * The RICS sets out the minimum levels of indemnity. * The RICS sets out the maximum levels of uninsured excess. * Run off cover must be in place for at least 6 years. * The policy should include cover for past and present employees, directors and partners.

Answer 71

* Keep full and detailed records of meetings and conversations. * Record recommendations and advice given. * Use proper letters of engagement, scope of services and terms of engagement. * Don’t advise on a specialism outside your field of experience. * Use RICS guidelines. * Avoid poor management and excessive workloads.

Answer 72

* For you to notify them and comply with any conditions & procedures set out in the insurance policy.

Answer 73

* An estimate that is incorrect in itself will not provide the client with a right of redress. * The client must demonstrate that the QS warranted the accuracy of the estimate or that it was incorrect due to a lack of reasonable skill and care. * It could have been incorrect due to reasons outside their control for example market conditions or an item referred to in their exclusions.

Answer 74

* Base the appointment on reasonable care and skill rather than fitness for purpose which is more onerous. * If the client’s requirements are performance based, this may imply fitness for purpose. It is advisable to request a clause limiting the appointment to reasonable skill and care only. * Run off cover must be in place. * Execution of the appointment under hand will result in a reduced liability period of 6 years instead of 12.

Answer 75

* Terms and conditions. * Scope of services. * Exclusions. * Assumptions.

Answer 76

* If project requirements such as the services, scope or value of the project has increased then I would go back to client and request a fee increase. * If the scope of works had remained the same, this highlights a mistake within our fee bid and the additional work would need to be carried out without reducing the level of service being offered and without requesting additional fees from the client.

Answer 77

* Follow up with a formal letter which includes the terms and conditions, fees and scope of services that are to be provided.

Answer 78

* I would place the funds in a separately identified client account and agree a drawdown of monies against the services being provided with the client.

Answer 79

* A conflict of interest is where someone in a position of trust has competing personal or professional interests making it difficult for them to fulfil their duties impartially. * An existing relationship will result in reduced impartiality and Chartered Surveyors have an obligation to make clients aware of this and if necessary, decline work opportunities where a conflict of interest occurs.

Answer 80

* I could put in place procedures to ensure exclusivity of staff. * This would avoid any cross over of information between the departments. * I would also ensure that there are separate communication lines into the client. * Separate geographical locations and secure office and data storage would also need to be provided. * Staff could also sign up to confidentiality or non-disclosure agreements. * I would also need to monitor the potential conflict and keep the client updated on progress.

Answer 81

* I would check the clients understanding around the conflict of interest. * I would then make the client aware of the potential for reduced impartiality. * If they were still insistent on the appointment, I would seek a letter of instruction from the client to continue. * Following the appointment I would agree working procedures to manage the conflict of interest with the client and the teams involved.

Answer 82

* The only circumstance in which it is OK to make a facilitation payment is when you are under duress. * For example if there is a real and present risk or danger to "life, limb or liberty". * If you or your companions are under immediate physical threat. * You should put safety first, make the payment and report the matter immediately. * Or as soon as is practicable to your manager or your ethics compliance contact.

Answer 83

* I would be extremely uncomfortable accepting the prize in this scenario. * The prize is of a significant value and could be interpreted as a bribe. * Furthermore due to working on a project with the Main Contractor at the time of this scenario, accepting the prize would have been highly inappropriate and could be interpreted as having an affect on my business conduct during the project. * I would respectfully decline the prize and suggest that this is made as a charitable donation to a charity of the Main Contractor’s choice. * I am aware that bribes are commonly distributed as random prizes and due to the seriousness of this incident I would report this to my line manager.

Answer 84

* In the first instance I would declare this hospitality on my companies’ gifts and hospitality register. * Assuming the invite was approved and I was authorised to attend, I would need to decline the invite due to the Project Team dropping out. * Since they won't be present, this will not be a genuine business event. * Consequently, I would decline this hospitality at the Project Team's expense.

Answer 85

* Going to what sounds like a lavish lunch paid for by a bidder in the middle of a tender process is against Company policy and could be an offence under the UK Bribery Act. * If this were the first time, it would be OK just to decline and explain that such an invitation is inappropriate. * However if this supplier is persistent, there is a red flag in that he wants to discuss things that he cannot put in writing, so we should report this infringement.

Answer 86

* Gather Evidence: Collect all relevant documentation and evidence of the inflated expenses. * Confidentiality: Maintain confidentiality and avoid discussing the issue with other colleagues. * Report to Supervisor: Report the issue to your immediate supervisor or line manager. * Follow Company Procedures: Adhere to your company's internal procedures for reporting unethical behavior. * RICS Guidance: Refer to the RICS Rules of Conduct and seek guidance if necessary. * Documentation: Keep a record of all actions taken and communications made regarding the issue.

Answer 87

* Check Company Policy: Review your company's policy on accepting gifts. * RICS Code of Conduct: Refer to the RICS Code of Conduct, which generally advises against accepting gifts that could influence your professional judgment. * Decline Politely: If the gift was excessive or compromising, politely decline the gift, explaining that accepting it could create a conflict of interest. * Transparency: Inform your line manager or supervisor about the offer. * Record the Incident: Document the offer and your response in case of future queries.

Answer 88

* Acknowledge Limitations: Recognize and acknowledge your lack of expertise in that area. * Seek Expertise: Consult with a colleague or another professional who has the necessary expertise. * Inform the Client: Inform the client about your limitations and recommend a qualified professional. * RICS Standards: Ensure that any advice or referral you provide is in line with RICS standards and guidelines. * Professional Development: Consider undertaking further training or professional development to gain expertise in that area.

Answer 89

* Acknowledge the Error: Immediately acknowledge and take responsibility for the error. * Assess Impact: Assess the impact of the error on the project and identify any potential risks. * Inform Stakeholders: Inform your line manager, team, and any affected stakeholders about the error. * Correct the Error: Take prompt action to correct the error and ensure accuracy. * Prevent Recurrence: Implement measures to prevent similar errors in the future, such as additional checks or training. * Documentation: Document the error, actions taken, and lessons learned for future reference.

Answer 90

* I am on the mailing list for several CPD providers. * My employer sends regular digests of the relevant news and articles of interest. * I follow updates on the RICS website and Construction Journals * I undertake regular web research on key topics relevant to my field of surveying.

Answer 91

* I meet with my line manager to review my career development plan and objectives. * I build my CPD strategy around these objectives, current topics and personal interests. [Try to use examples to address this question. (working with National Trust requiring heritage CPD]

Ethics, Rules of Conduct & Professionalism Flashcards

(116 cards)