RICS Rules of Conduct Flashcards
What are the 5 Rules of Conduct?
1) Members and firms must be honest, act with integrity and comply with their professional obligations, including obligations to RICS.
2) Members and firms must maintain their professional competence and ensure that services are provided by competent individuals who have the necessary expertise.
3) Members and firms must provide good-quality and diligent service.
4) Members and firms must treat 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.
● Appendix A contains the professional obligations of members and firms
What do you know about the change to the RICS Rules of Conduct?
● Previous rules of conduct were in place from 2007 until 1st February 2022
● The new Rules of Conduct came into effect on 2nd February 2022.
The change was made due to the following:
1) Research with RICS members, firms and members of public = majority voted to replace
2) To provide a single document and a simpler structure providing greater clarity for RICS members and firms
3) Each rule has examples so they can be understood. There is also 12 case studies showing real-life application of the rules.
4) Incorporates the evolving use of technology.
5) Emphasises tackling global change such as sustainable development and climate change.
6) Focuses on respect, diversity and inclusion.
What is the procedure for a breach to the RICS Rules of Conduct?
Not every shortcoming gives rise to proceedings.
1) Formal investigations by Head of Regulation of the RICS
2) RICS may request further information and / or visit and inspect to investigate compliance
3) Member must fully cooperate
What is the difference between RICS ethics and rules of conduct?
● Ethics = set of moral values
● Rules of conduct = a framework that we work to
Why would you do if you found out someone you know (a chartered surveyor) is working outside of the RICS Rules of Conduct?
1) Verify the facts
2) Confront the individual and remind them of their duties as an RICS member.
3) Inform the RICS specifying my relationship to the individual and any corrective action which I believe the individual is committed to put in place.
What is the purpose of the Rules of Conduct?
Provide a framework that we can all work to and so the client knows they are getting a set level of service.
What is Appendix A to the RICS Rules of Conduct 2021?
Appendix A contains the professional obligations of members and firms:
Members must:
1) Comply with the CPD requirements set by RICS.
2) Cooperate with RICS.
3) Promptly provide all information reasonably requested by the Standards and Regulation Board.
Firms must:
1) Publish a complaints handling procedure, which includes an alternative dispute resolution provider approved by RICS, and maintain a complaints log.
2) 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.
3) 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.
4) Cooperate with RICS.
5) Promptly provide all information reasonably requested by the Standards and Regulation Board.
6) Display on their business literature, in accordance with RICS’ published policy on designations, a designation to denote that they are regulated by RICS.
7) Firms must report to RICS any matter that they are required to report under the Rules for the Registration of Firms.
What is the ethics decision tree?
Provides a framework of questions which members should ask themselves when facing situations.
Explain the RICS ethics decision tree?
Contains 5 initial questions:
1) Do you have sufficient facts on the issue?
2) Is it legal?
3) Is it in line with the RICS Rules of Conduct?
4) Have you consulted with appropriate people to make an informed decision?
5) Do you have clear reasoning in reaching your decision?
● If the answer is no to any of these then do not proceed.
● If the answer to all is yes then - would you be content for your actions to be made public? No = do not proceed. Yes = act and record the decision and reasoning.
What is the difference between integrity and ethics?
● Integrity - the practice of maintaining appropriate ethical behavior (a choice)
● Ethics - principles that govern the behaviour of a person or group in a business environment. Ethics can be imposed and not a choice
Name an example behavior for each of the RICS Rules of Conduct?
1) Members and firms are open and transparent with clients about their fees and services.
2) Members and firms only undertake work that they have the knowledge, skills and resources to carry out competently.
3) Members and firms understand clients’ needs and objectives before accepting any professional work.
4) Members and firms respect the rights of others and treat others with courtesy.
5) Members and firms respond to complaints made against them promptly, openly and professionally.
What is professional practice?
The standards, ethics, and conduct expected of individuals within a specific profession
What ethical principles are the RICS Rules of Conduct based on?
1) H- Honesty
2) I - Integrity
3) S - Service
4) C - Competence
5) R – Responsibility
6) R - Respect
Source: Rules of Conduct (October 2021)
What are the principles of better regulation?
1) P – Proportionality
2) A – Accountability
3) C – Consistency
4) T – Targeting
5) T – Transparency
Source: Rules of Conduct for Firms (June 2007 effective from 25 April 2017)
What is a phoenix firm?
When an RICS regulated firm closes in a disorderly way and re-registers quickly as a new trading entity - goes against code of conduct.
