Ethics, Rules Of Conduct & Professionalism

Question 1

What is the RICS Motto?

Answer 1

Est Modus in Rebus’ - ‘There is measure in all things’.

Question 2

Who is the President Elect of the RICS

Answer 2

Nick Maclean, currently in place of Justin Sullivan who is under review by the regulatory board

Question 3

What is the Mission Statement of RICS?

Answer 3

To qualify and equip their members to the highest standards of professional service.

Promote and enforce those standards.

Lead solutions to challenges in the built environment.

Question 4

When was the RICS founded?

Answer 4

1868

Question 5

How is the RICS structured?

Answer 5

Privy Council - grants and awards.

Governing council - strategy of the RICS.

Regulatory board - the RICS are self regulated which is managed and audited by the regulatory board internally.

Question 6

What are the RICS 5 principles of better regulation?

Answer 6

1. Proportionality
2. Accountability
3. Consistency
4. Targeting
5. Transparency

Question 7

What is the difference between ethics and rules?

Answer 7

Ethics are a set of moral values.

Rules of conduct are a framework that we work to.

Question 8

What are the 5 professional and ethical standards of the RICS?

Answer 8

1. Members and firms must act with honesty and integrity and ensure they’re acting to their obligations, including their RICS obligations
2. Memembers and firms must maintain their professional competence and ensure services are carried out by a competent individual
3. Members and firms must provide a good quality and diligent service to their clients
4. Members and firms must treat all others with respect and encourage diversity and inclusion
5. Members and firms must act in the public interest, take responsibility for their actions and act to prevent harm and maintain public confidence in the profession

Question 9

What are the professional obligations of members?

Answer 9

1. Comply with the CPD requirements of 20 hours a year, 10 formal, the remaining informal
2. Cooperate with the RICS
3. Must provide all information requested by the Regulatory Board

Question 10

What is the RICS decision tree?

Answer 10

A structured framework to enable members to make ethical and informed decisions.

Question 11

My brother in law is a chartered surveyor and is acting outside the RICS rules of conduct, what do I do?

Answer 11

I remind him of his duties as a member of the RICS.

I inform the RICS and specify my relationship with him and detail the actions I believe to be outside of the rules of conduct.

Question 12

What insurances would I need if starting up my own company?

Answer 12

Professional Indemnity

Employers Liability

Public Liability

Building insurance of an office premises

Complaints handling procedure

Question 13

What is meant by the term Negligence?

Answer 13

A failure to provide the duty of care that is owed to the client.

Question 14

What are the limitation periods associated with underhand and deed forms of contract?

Answer 14

The limitation period for a contract executed underhand is 6 years.

If executed as a deed it is 12 years.

Question 15

What is ADR?

Answer 15

Adjudication - an impartial adjudicator makes a binding decision, less formal, can appeal.

Mediation - a neutral mediator helps parties reach a voluntary agreement

Arbitration - a more formal process where an arbitrator makes a binding decision, more formal, limited appeal options.

Conciliation - similar to Mediation, but the conciliator plays a more active role in suggesting solutions

Question 16

What is meant by ‘binding decision’ in ADR?

Answer 16

It is enforceable by law.

Question 17

What do I do if I receive a letter of complaint?

Answer 17

I would acknowledge receipt, raise with my line manager and forward to my firms designated complaint handler.

Question 18

What is the purpose of the joint names on a client account?

Answer 18

For the purpose of dual authorisation.

Question 19

What is meant by CPD?

Answer 19

Continuous professional development.

Question 20

What are the CPD requirements of the RICS?

Answer 20

a minimum of 20 hours per year, 10 formal, the remaining informal.

Must undertake learning on the standards expected of the RICS Ethics on a 3 year rolling period.

Question 21

Where do you record your CPD?

Answer 21

On the RICS online portal.

Question 22

What is the RICS CPD decision tree?

Answer 22

A tool used to determine if an activity is informal or formal.

Question 23

What is the difference between informal and formal CPD?

Answer 23

Formal has a structured learning outcome.

Informal are activities such as private reading, discussions with colleagues, shadowing on the job etc.

Question 24

How do I keep up to date with topical issues?

Answer 24

I am on the mailing list for several CPD providers

My employer holds formal CPD sessions.

I get invited to external CPD sessions by clients or other relevant companies.

Question 25

What does PII stand for?

Answer 25

Professional Indemnity Insurance.

Question 26

What is the purpose of PII?

Answer 26

Provides financial cover should the client suffer financial loss due to a breach of professional duty (negligence etc).

Question 27

What benefits does it provide the professional?

Answer 27

Protects them from financial loss. Protects the firm from meeting the claim from their own assets and resources.

Question 28

What benefits does it provide the client?

Answer 28

They are able to recover from financial loss.

Question 29

On what basis is it underwritten in the UK?

Answer 29

On a claims made basis.

Question 30

What does on a claims made basis mean?

Answer 30

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 occurs.

Question 31

If an estimate prepared by a QS is incorrect can a client claim damages?

Answer 31

An estimate that is incorrect in itself will not provide the client with a right of redress. The client would have to demonstrate that the estimate was incorrect due to a lack of reasonable skill and care.

Question 32

What are the main elements included in a fee proposal?

Answer 32

Terms and Conditions Scope of Services Exclusions Assumptions

Question 33

What is a conflict of interest?

Answer 33

Where the duty of a RICS member conflicts with the service owed to a client or party. This could also be caused by personal beliefs, for example if I was Vegan, this would conflict with a client who was seeking advice on a abattoir. Could also be caused by the knowledge of confidential information.

Question 34

What is your firms complaints handling procedure?

Answer 34

Senior members of staff are notified of the complaint and it is captured in the companies complaints log. The complaint is then internally reviewed and a clear resolution attempt is identified. Should this not rectify the issue in the complaint, it is escalated to an independent redress.

Question 35

Why might I decline a proposal for a fee from a client?

Answer 35

A conflict of interest Outside of skill set Unable to undertake the works due to capacity If the works appeared unethical / not in the public interest

Question 36

When did the new rules of conduct come into effect?

Answer 36

2nd of February 2022.

Question 37

What does RICS state is needed in an appointment document?

Answer 37

Scope of services Fee structure Insurances Dispute resolution method and complaints log Termination clauses

Question 38

What would I do if I set up on my own?

Answer 38

First I would notify the RICS that I intended to set up on my own, I would gather the relevant insurances, Employers Liability Professional Indemnity Public Liability I would then develop my firms dispute resolution and complaints log processes and comply with all relevant regulation.

Question 39

How could I benefit the RICS if I was to join them?

Answer 39

I believe I could benefit RICS by promoting the practice of a surveyor and the wider construction industry. I would like to do this by going into schools and educational facilities to talk about my profession and encourage others to enter into it. I would like to help future candidates on their APC journey and become chartered.

Question 40

What is a hot topic in the industry that has caught my eye recently?

Answer 40

The most recent article I read was regarding the shift in demand for office space in recent months and the standard of quality the market is demanding. I think this could impact my role as a QS as my firm predominantly work in the commercial sector.

Question 41

What PI limit is required by RICS?

Answer 41

This is dependent on turnover. For firms earning over £200,001 the limit is £1m. For a turnover between £100k and £200k, it is £500k. For under £100k it is £250k.