INSIDE IREM KNOW YOUR CODE
Know Your IrEM CodE of
ProfEssIonal EthICs: maintaining Loyalty
SpaniSh philoSopher, GeorGe employment contract at the time and assisted
Santayana, once Said, “thoSe who the candidate in forming a new management
cannot learn from hiStory are firm using the current employer’s clients.
doomed to repeat it.” This famous • A CPM Candidate was suspended for failing
quote reminds us that there are lessons to be to disclose to the employer knowledge of a
learned from studying cases heard before the client’s intention to discontinue its manage-
Larry Ethics Hearing and Discipline Board. One of ment agreement. The board was clear in its
Baiamonte, the most cited infractions of the IREM Code decision that the candidate’s formation of a
nationwide. of Professional Ethics is the accusation of “sto- new management company in itself was not a
com), is a len clients,” which violates Article I: Loyalty to violation and that the candidate did not solicit
Client, Firm, and/or Employer. Article I states: the client’s business.
sionaL, reaL • A CPM Candidate was suspended for solicit-
estate equities, A Certified Property Manager®, CPM® ing clients from the employer to start a new
insuranCe in Candidate, Accredited Residential management business. The candidate had pro-
CoLumBus, ohio. Manager ® , Accredited Commercial posed a business plan to the employer suggest-
Manager or Associate Member (herein referred ing dividing the management into two firms.
to as Member) shall at all times exercise loyalty Although this plan was not formally accepted
to the interests of the client and the employer by the employer, the candidate moved ahead
or firm with whom the Member is affiliated. A with formation of a second firm and contacted
Member shall be diligent in the maintenance