Standard Three: Fair and reasonable rates

A member of the Association shall at all times charge fair and reasonable fees commensurate with the service being provided and fully disclose the amount of such fees prior to the time the service is to be provided. At no time shall the member accept remuneration from more than one party for services rendered without full knowledge and written agreement of all parties involved.

All fees charged for services shall be in accordance with applicable statutory provisions and/or local established rules and customs.

A fee is fair and reasonable if it is one which can be justified in the light of all pertinent circumstances, including the factors mentioned herein.

Interpretation:

1. The member should assure written contractual relationships in all matters in order to avoid any misunderstanding and to assure a better service to the member's client(s).

(a) The member, for the protection of all parties with whom the member transacts business, should assure that all financial obligations and commitments are in writing, prior to the beginning of work, expressing the exact agreement of the parties; and that copies of such agreements, at the time of execution are placed in the hands of all parties to the agreement, and shall be dealt with in accordance with the instructions of the parties involved. A member shall not receive directly or indirectly any rebate, fee, commission, discount or any other benefit without the full knowledge and prior written consent of all parties.

(b) The fiduciary relationship between the member and the member's client requires full disclosure in all financial matters between them and prohibits the acceptance by the member of any hidden fees.

(c) No fee, reward, costs, commission, interest, rebate, agency or forwarding allowance or other compensation whatsoever related to professional employment maybe taken by the member from anyone other than the client without full disclosure to and the consent of the client and, where the member's fees are being paid by someone other than the client(s), the consent of such other person.

(d) The entering into an agreement with the client imposes upon the member of the Association an obligation of rendering a skilled and conscientious service. When the member is unable to render such service alone, it is incumbent upon the member to obtain assistance from another person having the appropriate expertise and qualifications. The member should not engage, recommend or suggest the use of services of any other organization or business without prior disclosure to the client. The member shall not accept any rebate or profit on expenditures, made on behalf of the client without the client's written consent and knowledge. A member must render a proper accounting to the client with respect to direct or indirect costs relating to additional services.

(e) A member shall not provide service where the member's level of expertise is not on a level that could be reasonable required under the circumstances. Where services are required in such areas and the member does not have the appropriate level of expertise, such services should not be provided without the aid of another person who is properly qualified in the area of activity being contemplated.

(f) The member shall not recommend or suggest to a client or a third party the use of services of any other organization or business in which the member has a direct or indirect interest, without disclosing such interest, in writing, at the time of the recommendation or suggestion.

(g) The member must be alert to recognize his lack of competence for a particular task and the disservice he would do his client if he undertook that task. The member must either decline to act or shall retain, consult or collaborate in that field, or refer the client to an individual who is competent in that field.


2. A fair and reasonable fee will depend upon and reflect such factors as;

(a) The time and effort required and spent;

(b) the difficulty and importance of the matter;

(c) the likelihood that the acceptance of the particular employment will preclude other employment by the member;

(d) the fee customarily charged in the locality for similar services by individuals with similar credentials;

(e) the amount involved and the results obtained;

(f) the time limitations imposed by the employer, client, or by the circumstances;

(g) the nature and length of the professional relationship with the client or employer;

(h) the experience, reputation, and ability of the member performing the service;

(i) whether the fee is fixed or contingent;

(j) the informed consent of the client or employer to the fee or employment agreement;

(k) fees authorized by statute or regulation;

(l) the member should not attempt to set fees for services to be offered by suggesting or implying directly or indirectly, that the level of fees being suggested is based on direction from the Association, Institute, Society or Council to which a Member also belongs;

(m) A member should be ready to explain the basis for his charges (especially if the client is unsophisticated or uninformed as to the proper basis and measurement for fees).


3. The member should avoid controversy with his client respecting fees, Controversy and misunderstandings respecting fees and financial matters bring the member's profession into disrepute. He should give the client a fair estimate of fees and disbursements, pointing out any uncertainties involved so that the client may be able to make informed decisions.

4. Nothing herein shall be construed as prohibiting any gratuity, gift, or similar item which may otherwise be permitted by rules, regulations, or policies established by the member's employer and/or client.