For each of us the word “ethics” probably holds a different meaning. For those engaged in business enterprises of whatever nature, in its deepest, broadest and most idealistic sense, ethics should hopefully mean, “Do unto others as you would have them do unto you.” This is the ethical basis for virtually all religious and moral systems in the world. If only all people could heed that simple lesson.
For example, in a property transaction involving multiple agents, what happens when a conflict arises between one licensee’s personal rules of ethics and the “questionable moral values” displayed by another licensee cooperating in a joint transaction?
A dilemma is created for both licensees, of course. Objectively, what can the licensee do whose personal sense of ethics has been offended, other than to engage in a meaningless “my opinion is…” exchange with the other licensee?
By exercising the Golden Rule standard in business relationships, individuals then would not need to impose their own sometimes faulty personal values or preferences on others. Since, ultimately, your own conduct is all you can control, it is important that you strive for high ethical standards in your transactions.
Learning and following state laws and regulations will help you to avoid discrimination and other forms of unlawful conduct. In California, sets of laws exist which govern ethics and professional conduct for salespersons and brokers. Those laws are covered in the “Real Estate Law” book published by the California Department of Real Estate (DRE), as well as the “Reference Book,” also published by the DRE.
There is wide public interest in how brokerage businesses are conducted. If the individual ethical performances of brokers and salespersons become too deficient, more government regulations are probable. Such additional government regulation need not materialize if each broker makes proper ethical decisions for his or her own business enterprise, recognizing that the best interests of the citizens in the community should be served before his or her own.
As a business professional, you should comply with the Business and Professions Code and the Regulations of the Commissioner of Real Estate or the relevant laws and regulations in your state. If you observe the ethical practices that are required of you, you will be providing a better service to your clients, customers and consumers.
By complying with the spirit as well as the letter of the law, you may avoid discipline from your state’s real estate department, government regulation will be less necessary, and you will help to promote the profession to a higher level.