Mixed Questions - JC

Question 1

What are the 5 rules?

Answer 1

Rule 1. Members and firms must be honest, act with integrity and comply with their
professional obligations, including obligations to RICS. (e.g., avoid conflicts of interest)

Rule 2. Members and firms must maintain their professional competence and ensure
that services are provided by competent individuals who have the necessary
expertise. (e.g., do not act beyond competence, engage specialists)

Rule 3. Members and firms must provide good-quality and diligent service. (e.g., use TOE)

Rule 4. Members and firms must treat others with respect and encourage diversity
and inclusion. (e.g., do not discriminate)

Rule 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. (e.g., question any suspect practice, be whistle blower if necessary)

Question 2

Example of when you have acted with integrity.

Answer 2

When acquiring an industrial warehouse in Coventry, I ensured that I undertook sufficient due diligence and read all the documents on the data room to provide sound advice to my client.

Question 3

Example of when you have promoted trust in the profession.

Answer 3

A client approached me about undertaking a valuation in Aberdeen. I informed them that was not my area of expertise, but I could put them in contact with someone who could help.

Question 4

How do you promote trust in the profession in your private life?

Answer 4

I hold and conduct myself in a way which does not ring embarrassment to the RICS. I ensure on my social media profiles there is nothing which would show the RICS in bad light.

Question 5

Example of when you have treated others with respect.

Answer 5

A local agent I contacted was not very friendly and was stand-offish about me seeing local expertise. Regardless of what he said to me, I remained calm and polite and treated him with respect, thanking him for his time.

Question 6

Example of providing high level of service?

Answer 6

When I valued an office building in Wellingborough, I spoke to agents to verify information when collecting comparables, to ensure I provided most accurate opinion of value.

Question 7

Example of when you have taken responsibility.

Answer 7

I always take responsibility for conducting conflict of interest checks on any work I undertake so I can be satisfied I can conduct the work objectively.

Question 8

What offences are in bribery act?

Answer 8

1. Giving a bribe
2. Taking a bribe
3. Bribing an official
4. Bribing a foreign official
5. Not having systems in place to prevent bribery

Question 9

What are the principles of the bribery act?

Answer 9

PCR – CDM
Proportionate procedures
Communication
Risk assessment
Top-level commitment
Due diligence
Monitoring and review

Question 10

What happens if you commit an act of bribery?

Answer 10

Up to 14 years in prison, excluded from RICS, unlimited fine, banned from being director of any company

Question 11

What are CJ’s AML regulations?

Answer 11

Raise red flags, do not accept cash payments, carry out risk assessments, report cash payments over £10k

Question 12

What is the Governance Structure of the RICS?

Answer 12

1. Privy council
2. Governing council
3. Standards & regulatory board
4. Management board

Question 13

What is the privy council?

Answer 13

Grants awards and royal charter

Question 14

What is the role of the governing council?

Answer 14

Highest governing body, setting global strategy

Question 15

What is role of standards and regulatory board?

Answer 15

Responsible for exercising standards and regulatory functions

Question 16

What is role of management board?

Answer 16

To direct RICS affairs under delegated authority from governing council

Question 17

What are 4 levels of RICS membership?

Answer 17

1. FRICS
2. MRICS
3. AssocRICS
4. Trainee

Question 18

How do you become a fellow?

Answer 18

1. 5+ years as MRICS
2. Leadership role
3. Professional/technical achievement
4. Raised the profile of the RICS

Question 19

What are your company’s standards?

Answer 19

• Act respectfully
• Add value
• Think creatively
• Uphold high level of service
• Act with integrity

Question 20

What is included in terms of engagement?

Answer 20

Sets our proposed fee basis, payment of expenses and that a copy of the firm’s complaints handling procedure is available upon request.

Question 21

What are the 7 obligations for firms?

Answer 21

1. Complaints – must have a procedure
2. PII – all professional work covered by PII
3. Sole principal – make arrangements for work to continue in event of death etc
4. Cooperate with RICS
5. Provision – info requested by Board
6. Designation – display on literature designation to denote they are regulated by RICS
7. Report – report any matter they are required to under Rules for Registration of Firms

Question 22

What do you know about the new rules of conduct?

Answer 22

• Released in Oct 21, came into effect Feb 22.
• Replace rules for individuals and firms and rules of conduct
• Based on behaviours and sustainability
• A simpler structure
• Clear examples
• Focusing on respect, diversity, and inclusion
• Understanding evolving technology
• Tackling global challenges

Question 23

Are guidance notes compulsory to follow?

Question 23

What is the point of the RICS Rules of Conduct for members?

Answer 23

It sets out the standards of professional conduct and practice expected of members.

Question 24

Are practice notes compulsory?

Answer 24

Yes.

Question 25

What is your firm’s gift policy?

Answer 25

I can accept the gift if its up to £50. I will log within the gift log, I may decline the gift once taken into account timings and proportionality.

Question 26

What are the CPD rules?

Answer 26

Qualified/MRICS member – 20hrs per year, min 10hrs formal
Student member – 48hrs per year, min 24 hrs formal
Submit 31st January
Ethics test every 3 years

Question 27

What is PII? Turnover limits?

Answer 27

Covers financial loss, personal injury and property damage resulting from your negligent act or error while you are working for a client.
* <100,000 = £250,000 cover
* <100,001 – 200,000 = £500,000 cover
* <200,001 = £1 million cover

Question 28

How many years after an instruction has been completed can a PI claim be made?

Answer 28

15 years (Limitations Act)

Question 29

What are the new RICS Professional Indemnity Insurance Requirements for 2022?

Answer 29

• The requirements for professional indemnity insurance were updated following issue of the UK Professional indemnity insurance requirements Version 9 with effect from 1st April 2022.
• The new requirements introduced a change to the maximum uninsured excess of Professional indemnity insurance.
• This means that for larger companies with a turnover in excess of £10m, there is no maximum limit of uninsured excess.
• Whereas for companies with a turnover of less than £10m, the maximum uninsured excess is the greater of £10,000 or 2.5% of the insured sum.

Question 30

What is the Assigned Risk Pool?

Answer 30

A facility for members/firms who find themselves unable to obtain insurance in the open market.

Comprises a panel of a RICS chairperson, members of PI insurers and RICS members.

Initial period of cover is 12 months to allow firm time to return to open PII market.

Question 31

What is the name of the RICS journals?

Answer 31

MODUS