Professional Ethics and Standards Flashcards

An owner instructs a CAM to tell prospective residents that a known pest problem has been resolved when it has not. The CAM should:

Answer: Refuse to misrepresent the property's condition and advise the owner of the liability

Misrepresenting a known property defect exposes the owner and manager to legal liability and violates ethical standards requiring honest disclosure.

The principle of 'accountability' in professional property management means that a CAM must:

Answer: Take responsibility for management decisions and their consequences

Accountability requires that a CAM take ownership of management decisions, actions, and their outcomes rather than deflecting responsibility.

A resident asks the CAM to provide a reference that exaggerates their payment history for a rental application elsewhere. Ethically, the CAM should:

Answer: Provide only an accurate, factual reference consistent with the resident's actual history

Providing an inaccurate reference is dishonest and could expose the manager to legal liability; only factual, accurate references should be given.

Which scenario represents a violation of professional ethics under IREM standards?

Answer: Collecting a kickback from a preferred vendor contract

Accepting kickbacks from vendors is a clear violation of IREM ethical standards and creates a conflict of interest that harms the property owner.

When an eviction proceeding reveals that the manager made an error in the notice process, the ethical course of action is to:

Answer: Immediately disclose the error to ownership and legal counsel

Ethical managers promptly disclose procedural errors to ownership and legal counsel to allow proper corrective action rather than concealing mistakes.

A CAM who uses their position to steer minority applicants away from certain buildings within a property is committing:

Answer: Steering, a violation of the Fair Housing Act and professional ethics

Steering applicants based on race, national origin, or other protected class is illegal under the Fair Housing Act and a serious ethical violation.

Professional development and maintaining current knowledge of laws is considered an ethical obligation for a CAM because:

Answer: Competence is an ethical duty that protects owners, residents, and the profession

Maintaining competence through ongoing education is an ethical duty because managing without current knowledge can harm owners, residents, and the profession's reputation.