Case Study A: A valuer's values

A valuation is undertaken of a development site and information as to consents and permits is provided by the client and relied upon by the valuer. The valuation is undertaken and reported for use by the client in reporting the value of its portfolio for International Financial Reporting Standards (IFRS) purposes. One year later the property is revalued for the same purpose and it transpires that the information provided by the client was false; the ethical issue is what course of action to take given confidentiality provisions, professional ethics and a duty to the wider public. What do you do? This case study involves the following professional and ethical standards: Act with integrity In line with the global professional and ethical standards you should always act with integrity. This means being open and transparent in the way you work and sharing appropriate and necessary information with your clients and/or other relevant parties. In this case the valuer has become aware that key information previously provided by a client, whether intentionally or not, is false. Always provide a high standard of service Broadly this means always ensuring that your client or others to whom you have a professional responsibility receive the best possible advice, support or performance from you. This includes being open and honest and not withholding information that may be in the interest of a client, a local or international authority or the wider public. Act in a way that promotes trust in the profession To put it simply, not acting in a way that reflects badly on you or the profession as a whole. In this instant you must consider the most appropriate course of action. To do nothing once you have become aware of the facts is not an option. Take responsibility The global professional and ethical standards suggest that if something does not feel right, you need to do something about it. Advice RICS members have a duty to act with skill, care and diligence and this includes speaking up if they are aware, or suspect, that something isnt right. In the situation set out in this case study members should ask themselves whether their chosen course of action promotes the profession in best light possible. From the point that the valuer is made aware of the facts in this scenario they have a duty to do something. This may mean speaking to the client to get the full facts (for example, was false information provided intentionally, or as a result of human error?) or reporting the

situation to the relevant authority. When making a decision the valuer should consider his or her duty to be honest, transparent and to act in the public interest. Cultural variations to consider When dealing with any kind of ethical issue you should consider how cultural variations may have an influence on the situation. In this case the need to report a potential breach of IFRS may take precedence over the need to withhold client confidentiality in a local market. RICS members, regardless of the cultural environment in which they are operating, have a duty to protect the global professional and ethical standards for the good of the profession. As such all possible measure should be taken to meet and uphold the standards. When a member is aware of something that may compromise their ability to meet the standards then they have a duty to do something about it. You can contact RICS for help and advice at: RICS Regulation Confidential Helpline t +44 (0)20 7334 3867 RICS Regulation Helpline (non-confidential queries) t +44 (0)20 7695 1670 RICS Regulation e regulation@rics.org You can also visit www.rics.org/confidential

Using the decision tree You could use the decision tree to assist you to dealing with this scenario. For example, taking each step in turn, you might consider the following: 1. 2. 3. 4. 5. 6. Do you have sufficient facts on the issue? Is it legal? Is it in line with RICS Professional and Ethical Standards? Have you consulted with appropriate people to make an informed decision? Do you have clear reasoning in reaching your decision? Is your decision informed? Would you be content for your actions to be made public - in the newspapers or on the internet?

If you answer 'no' to any of the above questions, then you should not proceed In this particular scenario, you may not be able to answer 'yes' to the question 'is it legal?' with the facts that you have. You may also want to consider whether you have all of the necessary facts to make an informed decision. In this instance the first step might be to speak with your client to establish the facts. By explaining that you have reason to believe the information originally provided was incorrect you might be able to establish whether false information was provided intentionally or by mistake. Once you are aware of the full facts you can make an informed decision on the appropriate course of action. This might be declaring the fact that false information was provided intentionally to the appropriate financial authorities.

Case Study B: Copyright

I am about to undertake my Assessment of Professional Competence (APC) in order to become a full RICS member. However, I'm well behind in my preparations, mainly as a result of a close family member becoming ill. A good friend who undertook and passed the APC last year has offered to let me use copies of the case studies that he produced and submitted to the evaluation panel as part of his own APC. If I accept the offer I would have more time to focus on preparing for the APC interview. What should I do? This case study involves the following professional and ethical standards: Act with integrity In line with the global professional and ethical standards you should always act with integrity. This means being open and transparent in the way you study and work. It also means being honest with others and never trying to hide the facts or purposely deceive those to whom you have a professional responsibility. Act in a way that promotes trust in the profession In broad terms this means acting in a manner, both in your professional life and private life, to promote you, your firm and the profession in a professional and positive way. This applies as much to student RICS members as it does to full members with years of professional experience. In this scenario you should stop and ask yourself how it would look to others, including the APC assessors and potential employers, if it becomes known that you have submitted work that is not your own. Take responsibility The global professional and ethical standards suggest that if something does not feel right you need to stop and question what you are doing. In this scenario it seems that you already understand that using someone else's work is not the right thing to do. However, if there is any doubt asking someone for advice is the right thing to do. Advice RICS members have a duty to be honest, transparent and trustworthy in all they do. Members should also consider whether their actions reflect badly on both themselves and the profession. In this situation the student member is considering compromising the professional and ethical standards due to time pressure in the build up to the APC. If the student were to submit someone else's work as their own then they would not be demonstrating integrity, nor would they be fulfilling their obligation to present work that is their own. This is a serious departure from the standards that are expected of members and the penalties, should they be found out, can be severe. Furthermore, the person who has offered their own work is probably not acting with the integrity expected of them as an RICS member, this could potentially lead to disciplinary action against them also. Despite any mitigating factors, such as falling behind with your preparations due to a sick family member, plagiarism in any form is not acceptable.

Alternative options might include seeking advice from your friend on the work that you are doing. Whilst they cannot do your work for you they may be able to offer guidance having already been through the APC. If you feel that you are not able to do all that is expected of you within the deadlines that have been set, then you should speak to either your APC supervisor or councillor, or contact RICS and explain your situation. RICS will be able to offer advice and, in some exceptional circumstances, you might be able to negotiate a short extension for the submission of your work. Cultural variations to consider When dealing with any kind of ethical dilemma you should consider how cultural variations may have an influence on the situation. In this case a student member is considering plagiarising a friends work in order to fulfil their own obligations as part of the APC. In some cultures plagiarism is tolerated more so than in others. Regardless of this, by becoming an RICS member you are agreeing to comply with RICS rules and standards. RICS members, regardless of the cultural environment in which they are operating, have a duty to protect the professional and ethical standards for the good of the profession. As such all possible measures should be taken to meet and uphold the standards. When a member is aware of something that may compromise their ability to meet the standards then they have a duty to do something about it. Using the decision tree You could use the decision tree to assist you to dealing with this scenario. For example, taking each step in turn, you might consider the following: 1. 2. 3. 4. 5. 6. Do you have sufficient facts on the issue? Is it legal? Is it in line with RICS Professional and Ethical Standards? Have you consulted with appropriate people to make an informed decision? Do you have clear reasoning in reaching your decision? Is your decision informed? Would you be content for your actions to be made public - in the newspapers or on the internet?

If you answer 'no' to any of the above questions, then you should not proceed In this instance you have done the right thing in questioning whether or not you should proceed. By working your way through the decision tree, it is likely that you will answer 'no' to at least one or more of the questions asked. You should therefore carefully reconsider your decision before proceeding.

Case Study C: Taking orders

My manager has asked me to deal with a task in relation to a contract in a way that I am uncomfortable with. Carrying out the task in this way seems wrong to me and I believe the approach being suggested by my manager may even be illegal in some of the jurisdictions in which we do business. I have been thinking about speaking to a senior manager in another department for advice, but I'm not sure if I should. I feel as though I should tell someone who can look into this, but I'm afraid that my line manager will make my job difficult for me and possibly take me off the contract if they find out I've spoken to someone else. What should I do? This case study involves the following professional and ethical standards: Act with integrity In line with the global professional and ethical standards you should always act with integrity. This means not allowing your professional judgement to be compromised. In this case pressure from a senior manager could lead to you acting in a way that goes against your judgement and compromises your usual standards. Always provide a high standard of service This means always ensuring that your client or others who you have a professional responsibility to receive the best possible advice, support or performance from you. Does carrying through with what youve been asked to do offer the best outcome for your client, or anyone else to whom you have a professional responsibility? Act in a way that promotes trust in the profession To put it simply, this means not acting in a way that reflects badly on you or the profession as a whole. In this situation doing nothing may well have negative implications not just for you or your firm, but also for your entire profession. Treat others with respect In the context of this case treating others with respect may mean being open and transparent with others such as your client, your peers and senior managers. You also have a duty to be open with your direct manager and raise any concerns as and when they arise. Take responsibility The global professional and ethical standards suggest that if something does not feel right, you need to do something about it, for example, speak up. Advice You have identified what you believe is a potentially serious matter. The global professional and ethical standards suggest that if something does not feel right, you need to do something about it. Line management is often the best place to raise concerns, but because it is your line managers request that concerns you, your suggestion of discussing the matter with another manager is a good option. Alternatively you may wish to raise the matter in confidence with your personnel/human resource or corporate governance (or equivalent) department. In line with the global professional and ethical standards you should always act with integrity and take responsibility for your actions. In keeping with these standards speaking up in this scenario is the right thing to do. Cultural variations to consider

When dealing with any kind of ethical issue you should consider how cultural variations may have an influence on the situation. For example, in the context of this case study questioning or raising concerns with regards to decisions made by a more senior member of staff may not be considered an appropriate action to take in some cultures. However, this is not an excuse for not dealing with the situation. RICS members, regardless of the cultural environment in which they are operating, have a duty to follow the global professional and ethical standards for the good of the profession. This means all possible measures should be taken to meet and uphold the standards, so you should explore different options to deal with a particular matter. For example, if you are working in a culture where it is unacceptable to question a senior manager you might discuss the matter with peers in order to seek advice, or perhaps raise the matter anonymously with an appropriate person in your firm, another RICS member, another professional, a community leader, RICS, or any other appropriate organisation, including the police.

You can contact RICS for help and advice at: RICS Regulation Confidential Helpline t +44 (0)20 7334 3867 RICS Regulation Helpline (non-confidential queries) t +44 (0)20 7695 1670 RICS Regulation e regulation@rics.org You can also visit www.rics.org/confidential Using the decision tree You could use the decision tree to assist you to dealing with this scenario. For example, taking each step in turn, you might consider the following: 1. 2. 3. 4. 5. 6. Do you have sufficient facts on the issue? Is it legal? Is it in line with RICS Professional and Ethical Standards? Have you consulted with appropriate people to make an informed decision? Do you have clear reasoning in reaching your decision? Is your decision informed? Would you be content for your actions to be made public - in the newspapers or on the internet?

If you answer 'no' to any of the above questions, then you should not proceed In this particular scenario you may not be able to answer 'yes' to the question 'is it legal?' with the facts that you have. You should therefore stop at this stage and seek further advice. As mentioned above, this may entail raising your concerns directly with your manager or, if this is not a feasible option, taking the matter to peers or another senior manager. By consulting with others you can establish whether or not your concerns are valid and also seek advice on how best to deal with the matter. By establishing sufficient facts you may find that it is acceptable and legal to proceed with the instructions that you have received from your manager. But you would have still done the right thing by raising your concerns before proceeding.

If, however, your concerns were justified you would have not gone through with something that might have reflected badly on you, your firm and the profession, or carried out an action that might have even been illegal.

Case Study D: The actions of others

You've been using a sub-contractor in a country where you are managing a project. You've worked with this particular sub-contractor many times and you know you can trust them to do a job well and within budget. You then hear an allegation that the sub-contractor has knowingly employed illegal immigrants who are being paid below market value for their work. What do you do? Act with integrity In line with the global professional and ethical standards you should always act with integrity. This means never taking advantage of a client, colleague or third party. In this case if the allegations prove to be true then you may be indirectly taking advantage of the workers who are delivering your project. How would this look if it was made public? Always provide a high standard of service Broadly this means always ensuring that your client or others who you have a professional responsibility receive the best possible advice, support or performance from you. As much as you are able you should encourage your organisation, suppliers, sub-contractors and anyone with whom you are working with to deliver a product or service to act in a way that is transparent and fair. Act in a way that promotes trust in the profession To put it simply, not acting in a way that reflects badly on you or the profession as a whole. This includes understanding how not just your own actions, but also the actions of others can impact negatively on you, your firm and your profession. In this case ignoring the situation may well have negative implications not just for you, your organisation but also for your profession as a whole. Treat others with respect You have a duty to treat others with whom you have a professional relationship, whether direct or indirect, in way that is fair and respectful. Take responsibility The global professional and ethical standards suggest that if something does not feel right, you need to do something about it which may mean speaking up. Advice As an RICS member you should, where it is within your power, strive to put the fair and respectful treatment of all those with whom you have professional dealings with, whether directly or indirectly, at the heart of your business culture. If you suspect someone you work with, even if that person is a sub-contractor, is not treating others fairly or with respect then you need to do something about it.

If you receive information that raises concerns about a supplier or sub-contractor then you have a duty investigate the matter. In this instance it might be worth having an informal discussion with your sub-contractor to establish the full facts. If it transpires that there is truth in the allegation then you should seek to take appropriate action. Cultural variations to consider When dealing with any kind of ethical dilemma you should consider how cultural variations may have an influence on the situation. In this case it would be worthwhile establishing some basic facts around the hiring of foreign workers in the country in which your sub-contractor is operating. Whilst the conditions may not meet the requirements of you own country they might not necessarily be in breach of local laws. However, even if there is not a breach of local law you may still want to ensure that your sub-contractor is not operating in a way that could reflect badly on you, your firm or your profession. RICS members, regardless of the cultural environment in which they are operating, have a duty to protect the global professional and ethical standards for the good of the profession. As such all possible measure should be taken to meet and uphold the standards. When a member is aware of something that may compromise their ability to meet the standards then they have a duty to do something about it. You can contact RICS for help and advice at: RICS Regulation Confidential Helpline t +44 (0)20 7334 3867 RICS Regulation Helpline (non-confidential queries) t +44 (0)20 7695 1670 RICS Regulation e regulation@rics.org You can also visit www.rics.org/confidential Using the decision tree You could use the decision tree to assist you in dealing with this scenario. For example, taking each step in turn, you might consider the following: 1. 2. 3. 4. 5. 6. Do you have sufficient facts on the issue? Is it legal? Is it in line with RICS Professional and Ethical Standards? Have you consulted with appropriate people to make an informed decision? Do you have clear reasoning in reaching your decision? Is your decision informed? Would you be content for your actions to be made public - in the newspapers or on the internet?

If you answer 'no' to any of the above questions, then you should not proceed In this particular scenario you may not be able to answer 'yes' to the question 'is it legal?' with the facts that you have. Even if you feel that you and your firm are not liable for the actions of a sub-contractor, you should question whether ignoring the situation is in keeping with the global professional and ethical standards. Unless you can answer 'yes' to each of the above questions honestly and confidently, you should stop and seek further advice.

In this instance the first step would be to speak with your sub-contractor to establish the facts. An informal discussion around their recruitment methods and conditions for their workers may be enough to establish whether there is any truth in the accusations made. By establishing the facts fully you may find that the accusations are unfounded. However, you would have still done the right thing by investigating the situation to find out whether or not the claims are true. If, however, the accusation is founded and your sub-contractor is employing illegal immigrants then you will be able to deal with the situation accordingly.

Case Study E: Conflicts

My firm has a potential conflict of interest but I cannot disclose the specific details of this to all parties without breaking client confidentiality. I believe that we may be attempting to advise two separate clients who are opposed on the same potentially contentious matter. What should I do? This case study involves the following professional and ethical standards: Act with integrity RICS member have a duty to act with integrity. This means being open and transparent in the way that you work. It also means never allowing bias, conflict of interest or undue influence of others to override your professional or business judgements and obligations. In this scenario you might want to ask yourself whether you are making all clients involved aware of the necessary facts. Always provide a high standard of service This means always ensuring that your client or others to whom you have a professional responsibility receive the best possible advice, support or performance of the terms of engagement you have agreed. In this instance would the potential conflict of interest impact on your ability to provide good and impartial advice to each of your clients? Act in a way that promotes trust in the profession This means acting in a manner, both in your professional life and private life, to promote you, your firm or the profession in a professional and positive way. What would be the impact on you, your firm and indeed the wider profession if you were to proceed knowing that there is a potential conflict of interest? Treat others with respect You have a duty to treat others with whom you have a professional relationship in a way that is fair and respectful. If you are proceeding in the knowledge that there may be a conflict of interest and/or withholding potentially important information from at least one of your clients are you treating those clients in a fair and respectful manner? Take responsibility

In broad terms this means being accountable for all of your actions. In this scenario, you suspect that there might be a potential conflict of interest. As you have concerns you should do something about it, ignoring the situation is not an option. Advice The best way to deal with potential conflicts is openness: you must declare any concerns to all parties, being as clear and open as you possibly can. Where client confidentiality is a concern, you can still discuss your worries, giving the other side(s) enough information to make a decision about whether they are content for your firm to take the instruction. If you can't disclose enough information for all parties to make an informed decision, then you should refuse the instruction. You should consider whether there are ways to manage a possible conflict: can you separate out work that may conflict and just take on neutral work? If you are part of a larger firm, can you create a Chinese wall between those surveyors and staff acting for different clients? Once you have agreed how a potential conflict will be managed, confirm this with the client(s) in writing. The golden rule for conflicts of interest is to act with integrity. Ask yourself whether you would like to be treated this way if you were the client. Cultural variations to consider When dealing with any kind of ethical issue you should consider how cultural variations may have an influence on the situation. However, RICS members, regardless of the cultural environment in which they are operating, have a duty to protect the professional and ethical standards for the good of the profession. As such all possible measure should be taken to meet and uphold the standards. Using the decision tree You could use the decision tree to assist you to dealing with this scenario. For example, taking each step in turn, you might consider the following: 1. 2. 3. 4. 5. 6. Do you have sufficient facts on the issue? Is it legal? Is it in line with RICS Professional and Ethical Standards? Have you consulted with appropriate people to make an informed decision? Do you have clear reasoning in reaching your decision? Is your decision informed? Would you be content for your actions to be made public - in the newspapers or on the internet?

If you answer 'no' to any of the above questions, then you should not proceed By working through the decision tree you can assess how best to deal with the matter. By consulting with others as necessary, you might be able to find a solution that works for all involved. By being as open and transparent as you can you will allow all involved to make an informed decision. If anyone objects to you continuing to act, you should step down from the instruction. If all parties agree to you continuing to act then you can do so, but are advised to get informed consent from each of your clients in writing.