Realtor Code Of Ethics Test Answers Latest Updated Rated A+

1. The Code of Ethics is based on the concept of: Let the public be served. When the Code of Ethics was adopted in the early 1900s, the rule of law was “caveat emptor” (“Let the buyer beware”). The Code took a different approach, based on the motto “Let the public be served.” One of the foundations of the Code is the protection of the public. Many of the Articles (e.g., 1, 2, 8, 9) are founded on protecting the consumer. 2. The Code of Ethics was adopted: To establish standards of conduct for the industry. There were no real estate licensing laws when the Code was adopted in 1913. One of the primary purposes of the Code was to establish professional standards of conduct for the real estate industry. 3. The Preamble to the Code: Sets out aspirational ideals that REALTORS® should strive to attain. The Preamble to the Code is the aspirational basis for the ethical concepts that REALTORS® believe in. Included are the core concepts of honesty, integrity, fairness, and moral conduct in business relations. Near the end of the Preamble, the timeless, universal principle of the Golden Rule is cited. Because the Code sets the ideals that we strive to attain, it is subjective in nature. As such, it cannot be used as a basis for disciplinary action against a REALTOR®. Only the Articles of the Code are used as the basis for discipline of REALTOR® membership. 4. The Code is primarily enforced through: Local associations of REALTORS®. The enforcement of the Code is handled mainly by the local REALTORS® associations. Real estate is one of the few industries that have a Code of Ethics that is enforced. Many industry codes of ethics are aspirational in nature and are not enforced by the organization sponsoring the code. The REALTOR® Code of Ethics has an enforcement process available to anyone who believes a REALTOR® has violated the Code of Ethics.