Conduct Rules, Ethics, Professional Practice

1.             What are the twelve professional and ethical standards of RICS (Previous)?

1)    Act honourably – never put your own gain above the welfare of your clients or others to whom you have a professional responsibility. Respect their confidentiality at all times and always consider the wider interests of society in you judgements. – Act respectfully

2)    Act with integrity – be trustworthy in all that you do – never deliberately mislead, whether by withholding or distorting information. -

3)    Be open and transparent in your dealings – share the full facts with your clients, making things as plain and intelligible as possible.

4)    Be accountable for all your actions – take full responsibility for your actions and don’t blame others if things go wrong.

5)    Know and act within your limitations – be aware of the limits of your competence and don’t be tempted to work beyond these.  Never commit to more than you can deliver.

6)    Be objective at all times – give clear and appropriate advice. Never let sentiments or your own interests cloud your judgement.

7)    Always treat others with respect – never discriminate against others.

8)    Set a good example – remember that both your public and private behaviour could affect your own, RICS’ and other members’ reputations.

9)    Have the courage to make a stand – be prepared to act if you suspect a risk to safety or malpractice of any sort.

10) Comply with relevant laws and regulations – avoid any actions, illegal or litigious, that may bring the profession into disrepute.

11) Avoid conflicts of interest – declare any potential conflicts of interest, personal or professional, to all relevant parties.

12) Respect confidentiality – maintain the confidentiality of your clients’ affairs – never divulge information to others unless it is necessary.

2.      Your client – a landlord – has not yet had time to ensure that his properties comply with new landlord legislation. He instructs you – his management company contact – to  act  in  conflict  with  legal requirements by using delaying tactics to defer implementation. Your refusal to do so may harm your lucrative business relationship, leading to financial loss. However, to comply with the client’s wishes may endanger the lives of his tenants. What should you do?

Answer: Explain to the client that acting on his instruction would lead to illegal activity. If he still wishes to proceed then advise him that the management contract will be terminated. - The most desirable conclusion would be to successfully persuade the client that the ramifications of delaying implementation are extremely serious for both client and property manager, with severe penalties to be expected from prosecution.

3.            You – a contract manager – are aware that a client is  being  charged  incorrectly  for  time  and subcontractor invoices by a contractor with whom you have a good working relationship. What should you do?

Answer: Avoid further dealings with the contractor providing you can show valid reasons in any future competitive tendering exercise for preferring a different organisation. - You are at liberty to avoid further dealings with a contractor who you suspect of improper practice provided, for example, you can show valid reasons in any future competitive tendering exercise for preferring a different organisation.

4.           You are marketing a site for a client. A prospective developer has identified your company as a possible provider of management service once the site is acquired. Your company will receive a fee from the vendor for selling the site, and an even higher fee for management and sub-letting from the developer. Bearing in mind the potential for conflict of interest, what should you do?

Answer: Disclose any potential fees, commissions and benefits to your client. - In accordance with Rule 19 of the Rules of Conduct, once your company has decided whether or not to act for any or all of the clients, you should disclose to each client the possibility and nature of the conflict; the circumstances surrounding it; and any other relevant facts. However, please note that there may be circumstances where professional judgement dictates that it would be best to decline to act.

5.          You were advised by a potential client that lowering your original quote for a job would lead to beating a  competitor  and  gaining  the  commission.  Despite  some  doubt,  this  is  agreed.  There  are  now concerns that you may not satisfactorily be able to carry out the job for this fee. What should you do?

Answer: Complete the undertaken job despite incurring a loss and recognising that this tactic is not of long-term benefit to your practice. It is desirable for the client to select a surveyor according to fairness and not manipulation.

However, having agreed a lower fee, it is your responsibility to try not to exceed the quote, risking future business opportunities with the client. Variations to contracts are not unusual, although this has occurred as a direct result of you lowering your quote to win the job.

6.       After receiving inside information about a competitor’s quote, you consider altering your terms to win a commission. You realise that you may be promising more than you can deliver, but by gaining the job, would make money for your company. What should you do?

Answer: Be comfortable that you originally quoted according to use of your professional time and expertise and if the client prefers the services you offer, he will accept your full fee and grant the commission. - The fee stated in any estimate ideally should reflect a surveyor’s costs and if the potential client honestly prefers the services you offer, your full fee should be accepted and the commission granted on that basis.

Submitting to 'Dutch auction' pressures or attempting to win favour by compromising on fees could violate RICS rules of ethical conduct governing fair competition.

7.       You are the managing agent of a block of flats. One of the leaseholders is a nuisance to you, the freeholder and the Residents Association. Her demands are unreasonable and based on a total ignorance of the law, the lease, and the roles of the landlord and managing agent. This particular leaseholder is female, Jewish, elderly, myopic and somewhat large. She has just made the latest of a large number of unreasonable demands.

Answer: Write back saying that her opinions are incorrect, that your practice prefers to deal with the Residents Association and you hope she will refer any future concerns to the Residents Association”. - Both answers which make reference to the Residents Association would be acceptable, dependent on the circumstances. Treating others with respect does not preclude a Member from being firm or decisive.

Answering that your practice prefers to deal with the Residents Association would be the preferred first response. The warning to ignore any further correspondence should be reserved for use if the leaseholder persists in writing in.

8.     You are instructed to help prevent a proposed development that would require the removal of a nature reserve. You have very strong views on protecting the environment and think that occupying the nature reserve will prevent it being destroyed. What should you do?

Answer: Put your personal interests aside and act with professional responsibility, assisting the project as best you can within the parameters of the law. - Your personal convictions and professional responsibility should be kept separate.

You must assume that your practice does not wish to enlist in public protest and may disassociate with your actions if they are outside the parameters of the law.

9.             You are aware that your client’s properties that you manage do not comply with recently introduced fire safety regulation. New tenants are about to move into some of the properties but your client has asked you not to mention the discrepancy to them. What should you do?

Answer: Let the client know that you are not prepared to endanger any lives and explain to him that he must ensure his properties comply with regulation. - Failure to advise clients about health and safety directions that may lead to ignorance of statutory demands violates RICS’ ethical rules of conduct, is generally unprofessional and could lead to a claim for negligence.

10.          What benefits for RICS membership / Why did you want to be an MRICS –

RICS is the largest international property organization in the world. By joining I will get global recognition and I will become part of an international professional community offering invaluable networking opportunities and guidance. I will get an opportunity to develop profitable business partnership with other top quality professionals. I will get an elite professional status. Guidance, information & support from national association. Member information services. Technical resources to support my profession. Moreover I will be part of promoting best practices in this profession.

11.          Why do RICS have Rules and Regulations –

RICS is a self regulating body. Rules will help members to act in a professional capacity and to deliver a robust, ethical and proper service to employers, colleagues, clients and other acquaintances (associates) in both public and private life. Rules of Conduct is related to (1) Ethics, (2) Personal Solvency (3) LLL

RICS refers to maintaining and promoting the usefulness of the profession to the public advantage. The public and RICS expect an MRICS to behave in line with the objectives of the charter, and provide clients with the most appropriate advice for their circumstances. As RICS is a self regulating body, specific rules of conduct and disciplinary powers maintain the standards.

A firm that has 50% or more partners or directors who are MRICS / FRICS is deemed to be a Chartered firm. If it is less than 50% they can choose to register to be regulated. Then they are called “Regulated by RICS”

12.          Explain what an individual should do to maintain ethical level in his profession.

•     Keep their own actions under review.

•     Maintain a level of knowledge and training appropriate to there area of work

•     Follow advice given by professional bodies on ethical behaviour.

•     Help their own organizations to develop ethical ways of working

13.          What employers should do to create a ethical environment.

•     Establish confidential setup for ‘whistle blowing’ independent of the normal chain of command.

•     Include ethical evaluations into formal performance assessment.

•     Include ethical standards into employee hiring, employment contracts and training.

•     Make  sure  there  is  adequate  planning,  training  and  ethical  performance  monitoring  when implementing change.

14.          What are the areas where ethics are important to an MRICS in this society?

Matters related to Gifts / bribes / hospitality / inducements, management of Health & safety, Equal opportunity, discrimination and sexual harassment, Conflicts of interest, Insider dealing, Money laundering, Disclosure of confidential company information, Financial transactions, Fair competition, Alcohol and drug abuse, Whistle blowing in case of any one raise an unethical issue, copyright and ownership of files, standards in advertising, Environmental protection, Relations with  local communities, Political and social behaviour.

15.          Rules and Regulations of RICS

•     Guidance to Rules of Conduct.
•     Disciplinary, Registration and Appeal Panel rules (01 January 2008) of RICS.
•     Transitional Rules for Registration of Firms
•     Professional Indemnity Insurance Policy

16.          Rules of Conduct (LLL to CPD Difference) – Members shall plan, undertake, record and evaluate appropriate CPD and on request provide evidence of same

17.          Rules of Conduct (ROC) for members – Interpretation, Communication, Professional behaviour, Competence, Service, CPD, Solvency, Information to RICS, Co-operation. (9 rules) ICPCSCSIC

18.     Rules of Conduct for Firms – Interpretation, Communication, Professional behaviour, Competence, Service, Training & CPD, Complaints handling, Client’s money, PI Insurance, Advertising, Solvency, Arrangement to cover the incapacity or death of a sole practitioner, Use of designations, Information to RICS, Co-operation (15 Rules) + T AACCPU

19.         Five basic principles of ROC – Proportionality, Accountability, Consistency, Targeting and Transparency (PACTT)

20.        Motto of RICS – Est Modus in Rebus ( Everything can be measured, there are well defined boundaries outside of which the right answer does not lie) ( If you don’t measure properly, you can’t build properly) (The Royal Institution of Chartered Surveyors)

21.      General information – 17 Professional Groups (Faculties), 21 disciplines,140,000 members (Out of it 86,000 MRICS / FRICS), 146 countries, 500 accredited degree courses, 170 specialist skills, 50 National associations, 7 regions ( UK, Europe, Americas, Asia Pacific, Oceania, India, MENEA) – Governed by International Governing Council – Representatives from each regions.

22.     RICS was founded in 1868 – the first President was John Clutton. It covers many disciplines – 21 altogether – including such areas as  Antiques  and  Fine  Arts,  Building  Surveying,  Construction, Valuation, Rural Practice and Environment. The present RICS is structured into world regions and is governed by an International Governing Council with representatives from these regions. Largest discipline is QS & Construction, then Valuation…

23.          Whom should RICS responsible – It is a self regulating body. Nevertheless, it should work for common interests of its members, clients, public etc.

25.          What services RICS provide - RICS is dedicated to providing a range of practice support services for our members.

•     online publications - www.isurv.co.uk

•     book publications - www.ricsbooks.com

•     cost data services - www.bcis.co.uk

•     dispute resolution offerings - www.rics.org/drs

•     various information products - www.rics.org/library

26.    

RICS was founded in London in 1868, and granted a Royal Charter by Queen Victoria in 1881. The Charter requires the Institution "to maintain and promote the usefulness of the profession for the public advantage." This commitment to act in the interests of society in everything we do continues to be our guiding principle.

Knowledge and best practice

•     setting the highest standards of academic achievement, practical training and lifelong learning

•     accrediting over 600 courses at leading universities worldwide

•     setting and promoting international best practice in professionalism

•     Regulation

•     regulating the profession through ethical principles and a state-of-the-art regulatory framework that works with the grain of modern business life

•     providing a workable and robust framework of protection and redress for clients

RICS Governance

RICS' top level strategy is set by a 70-strong Governing Council, chaired by the President, including RICS members from all world regions.

The Council, which meets three times a year, is supported by a number of other RICS member groups, whose total membership is around 1000.

These include world regional boards, national councils, UK regional boards, 17 specialist Professional Groups, and policy committees covering ethics, education, public affairs, marketing, research and dispute resolution.

Governing Council has delegated key decision-making to its Management Board to assist in the management of operational activities.

7 Regions - UK, Europe, Americas, Asia, Oceania, India, Menea Corporate Social Responsibility of RICS

Responsible business, responsible employer. Being a responsible business impacts everything we do at RICS. Our company values and culture provide the foundation for our developing commitment to corporate responsibility which internally we call 'Responsible Business, Responsible Employer'.

Putting our values into practice, upholding our commitment to corporate responsibility and maintaining public trust is of the utmost importance to RICS. RICS defines corporate responsibility as action taken which positively impacts on the Environment, communities, workplace and suppliers .

The  RICS  Quantity  Surveying  and  Construction  Professional  Group  has  approximately  40,000 members who benefit from:

•     An internationally respected qualification that is recognised as the 'gold standard' of professional competence

•     A regular and up-to-date professional journal that provides advice and commentary on key issues facing the profession

•     In-depth practice standards and guidance on a wide variety of professional topics

•     Access to a cost-effective programme of training events

•     A structured training plan for new entrants into the profession that culminates in an APC and, ultimately, Chartered status

•     The ability to lobby and influence government and other policy makers on the future direction of the profession

•     Opportunities to promote the profession through the technical press and national press and media

•     Access  to  experienced Professional  Group members,  a  professional  information  team  and  a contact centre that provide impartial advice

•     Access to a network of like-minded professionals through discussion forums

27.      RICS India - Managing Director & Country Head is Mr. Sachin Sandhir, Office is at Gurgaon. RICS started in India in October 2008.

28.      Have you seen a slogan in the emblem of RICS – “The mark of property professionalism worldwide”.

29.      What do you understand by a Chartered Surveyor – The surveyor who has a blend of technical and commercial skills and experience required to operate at the highest level in today’s property and construction markets. It is like achieving ‘gold standard’ of professional competence.

30.      Why one should use chartered surveyors – They add value to the development equation through their unique blend of construction knowledge, design flair and property expertise. Their experience helps the clients to get a peace of mind. ( Eg. At concept design stage they can provide strategic advice on schematic development plans; at detailed design stage they can provide on alternate design options etc)

31.      Sections of Chartered Building Surveyors – Building pathology, Design, Project Management, Building surveys, Property Management, Contract administration.

32.      What is the name of RICS monthly journal? – “RICS Business” is the flagship journal. But a bimonthly “RICS Construction Journal” is for Quantity Surveying & Construction faculty.

33.      DPB Scheme – Designated Professional Body – For the Mediation activities by RICS

34.      RICS Matrics: Why should I join? – RICS junior organisation (The profession’s future today)

This will help to make and maintain contacts throughout one’s career. Building friendships  and contacts early in your career can only be of benefit. These are the contacts who will willingly help without, necessarily expecting favours in return. They will provide evidence, information and advice. They may be one’s future client, business partner or colleague who recommends him for work or a new job. (In U.A.E. it is established in Feb 2009)

35.      Can you name some of the different RICS professional groups (faculties)? – Quantity Surveying & Construction, Building Surveying, Dispute Resolution, Facilities Management, Project Management, Planning & Development etc. (Total 17 groups)

36.      What are key roles of RICS – 
(1) Regulate and promote the profession 
(2) maintain the highest educational and professional standards 
(3) protect clients through strict code of ethics 
(4) provide impartial advise, analysis and guidance.

37.      What is meant by Ethics – Is a study of morality. It is a standard for deciding right and wrong. It is general moral beliefs and rule of conduct. It states what one should do instead of what one will do in particular instance. As per Oxford English Dictionary, it is the “science of Morals”.

Ethics is essentially a product of our humanity; that human beings are driven to bring about changes for the better changes for the better in their environment, and that the motives from which they act depend largely upon a combination of their personal and collective ethical value systems.

A modern definition of ethics: A set of general moral beliefs, normative rules of conduct, a set of standards that govern what one ought to do when the well and rights of, or duties to, oneself, others, or institutions are at stake.

It is important to differentiate between one’s “Legal” and “Ethical” responsibilities. Ethical issues impose a higher level of responsibility than legal because it is concerned with “Moral” values also along with adherence to “Legal” points.

38.      What is difference between business ethics and professional ethics

Business ethics is the study and analysis of moral principles and moral decision making as it applies to the business world. It is mainly determined by local customs and practice.

Professional ethics is the giving of one’s best to ensure that clients’ interests are properly cared for but in doing so the wider public interest is also recognised and respected. (RICS)

39.      Why ethics are important to a QS – As they are dealing with some jobs which require high ethical standards for its success. (Eg. Procurement of construction works, Contract administration, Valuation, Payment certification etc.)

40.      What do you understand by conflicts of interest? Give examples from your own experience.

41.      Would you accept a case of wine / gifts / Christmas cake from a client / contractor during / after a project? 
         Better not

42.      What is the minimum level of PI cover? How is it worked out for your company? –

We should discuss with an insurance broker (As listed by RICS) to work out proper level of cover. We should remember that if there is a claim we will be liable whether or not you have adequate insurance cover. In general, it should be “each and every “claim basis and the policy wordings is written to cover full civil liability basis. RICS is recommending level of PI Insurance (Eg. Required level of minimum limit of indemnity for a firm with turnover 100,000 Pounds or less in previous year is 250,000 pounds)

43.      What is LLL (CPD), and how is it achieved? What is the minimum requirement? What is the purpose of LLL? How would you demonstrate that you have complied with this rule?

It is the systematic updating and enhancement skills, knowledge and competence which take place throughout working life. LLL is an essential part of being a professional. Creation of a competent, innovative, forward looking professional as well as the individual is attained by proactive and targeted learning.

As per current rule (Rule 6), the members shall attain LLL of a minimum of 20 hours per year to “carryout their professional work with due skill, care and diligence and with proper regard for the technical standards expected of them”. AS per RICS, “Quality is as important as quantity’

LLL should include (1) Technical skills (core / optional competencies)  (2) Personal skills (Communication, negotiation, IT training, team working, data management etc) (3) Professional skills (Ethics, Conflicts of interest etc)

We all should have (1) Our own personal objectives in our career and (2) The ways to be adopted to attain those objectives. Hence we have to prepare our own PDP (Personal Development Plan) to find out our own requirements to grow professionally and set a training schedule for the LLL and we have to review it periodically. Now there is no specific time limit for LLL but anything less than 20 hours per year is not recommended by RICS.

As per RICS the LLL could be (1) Professional / work related (2) Personal / informal (3) Voluntary / charity (4) Courses / seminars / conferences.

44.      What is meant by PDP – Personal Development Plan.

45.      After your last referral what you have done with respect to your LLL? – I discussed with my superior and counsellor and revised my PDP (Personal Development Plan) to focus more on the areas where I lack required knowledge.

46.      How you will help RICS if you become a member? How could you help RICS develop in the future? – By promoting best practices, setting good example, being competent in the field, promoting RICS core values etc.

47.      If you are successful what designation will you receive? What other designations are there? – MRICS. Others are FRICS, Assoc RICS

48.      What is meant by ‘Diligent’ – Hardworking with care

49.      New Measuring Guidelines by RICS: New Rules for Measurement (NRM) -

Standards are first of three documents that aim to make it easier for clients to compare estimates. The first wave of a new set of measuring guidelines from the RICS was launched In March 2009.

The standards for cost estimating and elemental cost planning aim to make it easier for clients to understand and cross-compare estimates from different firms.

It is the first of three documents due to be published over the next two years as part of the RICS’ New Rules of Measurement (NRM), which promises to provide a standardised way of measuring projects from beginning to end for the first time.

This includes advice on dealing with costs such as risk allowance and inflation plus non-construction related costs including consultants fees and planning contributions. This helps RICS members get the guidance to work to the highest standards.

This new suite of rules, enabling the quantity surveying profession to measure construction projects from beginning to end using a single standardised rule book, will provide them with the tools to provide clients with the best possible advice in a challenging market place.

The second document on procurement is expected at the end of this year and the third, on whole-life costing, at the end of 2010.

54.      How do you prepare the consultancy fee proposal and what are the documents you must have in your possession? – First, I should understand the client requirements. Then I have to calculate how much resources required to meet the level of services the client need. Price the requirement. Add the overhead and profit. The required documents include the CV  of  competent  staff,  your  trade  / professional licences etc.

55.      What type of books you read in general? –  Books / articles  that will generally  help me  in my profession.

56.      What would you do if the client is short of money and asks you to reduce the interim valuation for this month?

Convince the client the importance of unbiased valuation. Politely refuse his request. Advise alternate options to client (Reach a mutual agreement with contractor and make record of it. If require consider interest on the reduced amount. Advise client alternate options to get funding) If you think of chance of insolvency, ask him to get a payment bond.

57.      You are preparing a valuation on site and see badly chipped and otherwise defective bricks in the completed work.  You tell the contractor that you can only include properly executed work therefore you do not include its value in the valuation. The contractor says it will be remedied before the next valuation and notwithstanding this he also states that you are acting beyond your duties.  Discuss the issues raised. -

Convince the contractor that you will consider only those works which are carried out as per the specification and standards only. Inform him that as that particular work was defective it will not be included in this valuation. If the contractor is not convinced by these explanations, you have to inform your manager about this incident. If the contractor tries to escalate this issue to further levels, report this matter to the Employer. Get advise from Engineer on defective materials.

58.      The contractor also shows you an invoice stating delivery of 20,000 bricks is on Sunday (It is now Thursday) and you will be in the office on Sunday preparing the valuation forms, therefore if he faxes the delivery notes on Monday.  Will you include their value?

No. In most projects, there will be a fixed date (Say 1st of every month) for payment application and works / MOS up to which only should be included in the payment application. Therefore the engineer (QS) is not bound to include any material on site which is delivered after that date or after the submission of interim payment application.

59.      While you were taking with an MRICS friend, he told you that he do not have a PI insurance even though he is running a chartered surveyor practice. What you should do? –

I have to advise him to take PI insurance. Convince him about the importance of taking a PI Insurance. Later, if I came to know that he is running his business with out a PI, I have to inform the matter to RICS office.

60.      The contractor is going on holiday one week before the next valuation date. He requests that you do the  valuation before he goes on holiday.   Can you do this and what date would you put on the valuation?

In most projects, there will be a fixed date (Say 1st of every month) for payment application and the works completed up to date will be considered. If the contractor wish to submit it one week early, the quantity of work and thus the value will be less. The Engineer shall consider the time limits from the date of contractor’s submission.

61.      A client contacts you with a request to carry QS Services, what would you offer and what would you expect to be included?

First understand client brief. Then check priority of client requirement like Quality, Time, Cost etc. If he require QS services include items like, Cost planning, Budget preparation, Quantity Take-off, Tender documentation, Advise Form of Contract and Procurement route, Tender Analysis, Budget control, Cost control and Management, Post contract QS services, Claims Management etc. Make sure that I am competent in those fields which he ask our services.

62.      During an evening party a friend ask you advice about his own work. What you will do? – The key element in this is whether I have PI Insurance is or not. If I have PII, no problem to advise him. (This is applicable even if one work after office hours, work for charity, work free of charge, not getting any fee for advice, give friendly advice etc.

65.      Would you pay some one if he introduce you to a prospective client – No problem if your company policy allows you. Simply introducing to some one will not make any conflict of interest.

66.      Would you accept cash instead of cheque from a client – no problem if the payment is due.

67.      If a client want to pay you in advance for your services as he going abroad how you will deal this matter – consider this a client money. Make an agreement with him about the terms of the money handling.

68.      Client noted a mistake in your valuation. What you will do? – Check the matter. If there is a mistake, admit  it to client. Investigate why it has happened. Take steps to avoid such mistakes in future. Convince client about the steps you have taken. Convey this message to all levels so that others will not make similar mistakes, Check this matter periodically. Rectify the mistake in next valuation. If client suffered a irreparable loss, report it to your insurer. Claim the compensation from them.

69.      Would you carry out works for a relative / friend? - No problem if I have PII and I am doing my works as per professional ethics. Also there should not exists a conflict of interest.

70.      What is meant by Red Book of RICS – The appraisal and valuation standards issued by RICS which set  out the procedure, regulations etc. for valuations. RICS Valuation Standards (The Red Book) contains  mandatory rules, best practice guidance and related commentary for all RICS members undertaking asset valuations. First published in 1980.

71.      Blue Book - Residential estate agency standards : Residential estate agency standards sets out how an agent should conduct his or her business. Jargon-free and structured to follow the  agent's workflow, it helps to ensure compliance with the law, with official guidance and with industry best practice.

72.      How do you go about starting a private practice? What PI cover you should have? What are the criteria to  call your firm  as  a  chartered  practice?  How  much  maximum  deductible  RICS  suggest  in  PI Insurance?

73.      At what stage a client should appoint a QS in a project? –

In order to get maximum gain from his skills as a QS, the appointment should be done as early as possible in the life of a project preferably at the inception stage, so that advice can be provided on (1) Cost & budget of the project (2) Procurement method (3) Advise on the appointment of other consultants & contractors.

74.      What are the procedures to set up your own Chartered Practice?

•     RICS member’s regulations (Inform the Institution, Follow professional conduct, Handling Client’s Money, Client’s money protection scheme, Take PI Insurance, Staff should be competent, Set up Complaints Handling Procedure (CHP), LLL, Conflicts of Interest, Know Advertising / publicity rules, Professional  charges to  RICS, we  should manage  our own  account properly  to avoid insolvency)

•     Statutory requirements (Follow all statutory requirements of the country of practice)

75.      What is the first thing you must do before taking an instruction from client? – Make sure that you have a valid contract with them.

77.      If a client ask you your services in the pre contract stage, what services you will offer - Cost planning, budget preparation, Value management, Cost control, procurement planning and contractor's selection.

79.      What is a conflict of interest – A conflict of interest is a scenario where a professional person is unable, or may be perceived as unable, to give full, proper and unbiased advice to a client because:

•     Of acting for another person.

•     Of having another obligations or pressures that detract from or affect his relationship with client.

•     Conflicting duties are owed to different clients.

Examples are (1) Acting for a buyer and seller of a property (2) Acting for two or more parties competing for an opportunity (3) valuing a property previously valued for another client by you or your firm (4) family related interests

80.      A prospective client asks you your fee for a service. But you already providing service to his competitor. How you will deal this situation? – Check the agreement with existing client about the ‘exclusiveness’ of your service to him. If it is not exclusive, inform this matter to both clients to avoid any conflict of interest. Take actions to construct “Chinese wall’ in your office to avoid passing information to wrong persons.

81.      “Chinese wall” concept to manage conflicts of interest between those working in same firm for different clients.

•     The persons must be different for different clients.

•     These persons must be physically separated (Either on different levels of a building if not in separate buildings)

•     Any information should not go to ‘”other side” (to be checked by Compliance Officer)

•     Such Compliance Officer should oversee the setting up and maintenance of this Chinese wall.

82.      What is meant by Duty of Care – It is the responsibility to treat others in a fair, just and professional manner.

Source: J Thomas (July 2010)