CODE OF ETHICS
INDONESIAN ASSOCIATION OF REAL ESTATE BROKERS

PREFACE

In the Republic of Indonesia, the life patterns of its citizens, including the economy, is still agricultural based. Thus the land as The Almighty God’s gift is of utmost importance to the Indonesian nation in its goal of achieving an equitable and prosperous society.

In line with that thought, the CODE OF ETHICS FOR THE INDONESIAN ASSOCIATION OF REAL ESTATE BROKERS (“AREBI Code of Ethics”) was established to uplift the dedication of its members to the beloved land, society and its surroundings, founded upon Pancasila and prioritizing honesty, expertise and integrity in carrying out their tasks as real estate (property) brokers.

FUNDAMENTAL RULES

By upholding the real estate brokerage profession and respecting AREBI Code of Ethics as a dynamic foundation to serve fellow mankind, thus every member of the Indonesian Association of Real Estate Brokers (“AREBI”) must behave and act as follows:

1. To uphold the honour, nobility and the reputation of the real estate brokerage profession in the professional relationship, providers of duties, fellow AREBI members, other real estate brokers, and the community as a whole;
2. To act with honesty, without being partisan, and serving the providers of duties and community with full dedication;
3. To share knowledge in the profession in a normal manner with fellow AREBI members, real estate brokers, and other professional groups, and enhance the community’s understanding on the real estate profession so that they are more appreciative of the work of real estate brokers;
4. To respect the principles of giving reasonable compensation for real estate brokers;
5. To appreciate and respect the reputation of fellow AREBI members, other real estate brokers and every work agreement in relation to the profession
6. To obtain the tasks/duties, based on professional standards without the advertising medium, or through offering commissions or use of influence that are not appropriate;
7. To cooperate in the capacity as real estate brokers only with fellow AREBI members or other specialists who have high integrity.
8. To participate in the development and propagation of the knowledge about real estate in the widest possible sense, through means of cooperation with the Government, organizations or legal entities and other professional groups.

RULES ON PROFESSIONAL BEHAVIOUR FOR MEMBERS OF INDONESIAN ASSOCIATION OF REAL ESTATE BROKERS

FOREWORD

Basically, AREBI members in carrying their profession are responsible to the community, to the Nation, Republic of Indonesia, and ultimately to the Almighty God.
 
The real estate brokerage profession carried out by AREBI members is one that hinges on the confidence of the community.

In order to guarantee that this noble task can be carried out as well as possible, thus it was arranged to have some basic rules for professional behaviour as the benchmark for the practice of AREBI CODE OF ETHICS, as follows:

CLAUSE 1

To uphold the honour, nobility and reputation of the real estate brokerage profession in the working relationship, with the provider of duties, fellow AREBI members, other real estate brokers, and the community.

Rule 1.1         
AREBI members will not, in the course of a business or professional practice, knowingly cheat or act with dishonesty, in breach of the existing laws and regulations;

Rule 1.2         
AREBI members will always endeavour to remind each other of unethical conducts;

Rule 1.3         
AREBI members have to report every unethical conducts or breaches to the AREBI CODE OF ETHICS and rules of professional behaviour for AREBI;

Rule 1.4         
AREBI members will not attempt to snatch the position or the job on real estate brokerage from fellow AREBI members appointed to carry out such task where such assignment is of exclusive nature;

Rule 1.5         
AREBI members will not fabricate or give misleading description on brokerage qualification or on matters of their personnels and work experience;

Rule 1.6         
AREBI members will not offer a job to an employee of fellow AREBI members unless such employee has taken the initiative to move to another workplace, or where such employee responds to a job advertisement placed by the fellow AREBI members in search of staff. AREBI members ought to employ people from other bureaus.

CLAUSE 2

AREBI members have to act with honesty, non-partisan stance, and serve the provider of duties and community with full dedication.

Rule 2.1         
AREBI members have to always act for the best interests of provider of duties, with loyalty and honesty;

Rule 2.2         
AREBI members have to inform the provider of tasks on possible outcomes, whenever there are conflicts of interests between the provider of duties and security interests, the laws, and current regulations, prior to and during the job;

Rule 2.3         
Before accepting an assignment, AREBI members have to ascertain that they can provide qualified human resources so that the duties can be completed swiftly and exactly, and still uphold the real estate brokerage profession;

Rule 2.4         
If the AREBI member knew during the course of their duty that the task requires skills beyond the expertise and experience of their specialists, then that particular AREBI member must inform such fact to the provider of duty. The AREBI member involved must provide sufficient advice and fully cooperate with fellow AREBI members or other experts involved in this assignment for the best interests of the provider of duty;

Rule 2.5         
AREBI members are not allowed to hold activities that are directly or indirectly hindering their objectivity and non-partisanship towards the provider of duty;

Rule 2.6         
AREBI members are not allowed to receive a duty that contains conflicts of interests whether known or strongly perceived to occur. If during the course of the duty there arises a situation whereby the AREBI member is likely to be in conflict of interest situation with the provider of duty, then the AREBI member involved must immediately inform the provider of duty and propose sufficient suggestions. AREBI member involved will not take part in every decision that has any conflict of interest. If conflict of interest is inevitable, then the AREBI member involved must resign;

Rule 2.7         
AREBI members are not allowed to accept reward, whether in monetary or other forms, from more than one party for the services given in the same duty unless if the matter is fully explained to and approved by all interested parties;     

Rule 2.8         
AREBI members have to inform the provider of duty where during the course of the job, it can be concluded that the project or the assignment will not bring the results or outcome desired by the provider of duty. The AREBI member involved must explain the conclusion and propose sufficient suggestions. The AREBI member must resign if the provider of duty still insists that he/she continue the job based on initial guidelines;

Rule 2.9         
Unless with the written permission from the provider of duty, AREBI members are not allowed to leak or use the information gained during the duty or in the project in regards to the personal matters, businesses, various technical processes or on whatever aspects of the provider of duty;

Rule 2.10       
AREBI members must inform the provider of duty the existence of interests, whether in financial or whatever forms, which can influence their views on professional matters.

CLAUSE 3

To share knowledge on the areas of expertise in a normal manner with fellow AREBI members and other professional groups, and enhance the understanding of the community on the real estate brokerage profession so that they are more appreciative towards the work of real estate brokers.

Rule 3.1         
If requested, every AREBI member must freely discuss with fellow AREBI members about similar issues, unless while doing so will incur breaches of CLAUSE 2 in AREBI CODE OF ETHICS or unless such as is prohibited due to legal consideration.

Rule 3.2         
Every AREBI member must provide advice, support and guidance to fellow members if requested, unless if the matter is beyond his/her knowledge or experience. In such situation, the AREBI member has to endeavour to point another information source as the substitute.

CLAUSE 4

To respect the principles of giving reasonable compensation for real estate brokers.

Rule 4.1               
AREBI members must ask for the compensation no lower than the compensation guidelines fixed by the Government from time to time or that approved by AREBI, except for social and charitable projects.

Rule 4.2               
AREBI members are not allowed to accept a duty where the compensation, or the costs for personnels are not pre-determined, or where the payments are subject to the success of the project, or the execution of tasks by other parties.

CLAUSE 5

To appreciate and respect the reputation of fellow AREBI members, other real estate brokers and every work agreement in relation to the profession.

Rule 5.1               
AREBI members are only allowed to accept the assignment to replace another real estate broker only after obtaining assurance that the assignment of the other real estate broker has been terminated in a natural way in accordance to the law, in writing, and that all compensation and other payments owed to the other exclusive real estate broker has been paid or actions towards that direction have been carried out, or the differences in the payments have been resolved correctly in accordance to the law.

Rule 5.2               
AREBI members are not allowed to deliberately or due to their ignorance, commit acts that are detrimental to the reputation, future of the other real estate brokerages or their employees.

Rule 5.3               
AREBI members are only allowed to criticize the work of fellow AREBI members in a fair manner. Every criticism on the work of fellow AREBI members is to be done inside a closed forum held by the Supervisory Body of AREBI.

CLAUSE 6

To obtain the tasks/duties, based on professional standards without the advertising medium, or through offering commissions or use of influence that are not appropriate.

Rule 6.1               
AREBI members are not allowed to pay or offer to pay, or provide or offer to provide, ease or other incentives, whether directly or indirectly, in order to obtain a job.

Rule 6.2               
Without setting aside the rules in Clause 6 above, AREBI members are only allowed to promote their professional services through means containing facts, with honour and without statements or implications that are exaggerative and self-praising.

The permitted means are as follows:

• The announcements via postage to people, companies or organizations with whom the member involved has direct connection whenever a branch office is established, or where there is a change of name, ownership, management, address, or areas of the services.

• To insert the announcements or professional statements into magazines in the profession or to the press.

• To insert part or the entire company name or legal entity of the particular AREBI member on announcement boards in the location of projects/properties or on the name boards.

• To prepare and pass on brochures to interested parties.

• To prepare and allow the inclusion of the writings for public press or the press in the profession. Such writings are not allowed to contain more than the direct involvement in the job explained.

CLAUSE 7

To cooperate in the capacity as real estate brokers only with fellow AREBI members or other specialists who have high integrity.

Rule 7.1                     
AREBI members are not allowed to establish or continue cooperation, in business or professional relationship with other AREBI members who have been expelled from their AREBI membership due to breaches of AREBI CODE OF ETHICS      o rules on professional behaviour.

Rule 7.2                     
AREBI members are not allowed to establish or continue cooperation, in business or professional relationship with an individual or legal entity who has been expelled from the association or other professional body due to breaches of the Association’s Code of Ethics or rules on professional behavior assigned by the Association or Professional Body.

Rule 7.3                     
AREBI members who are invited to cooperate with other real estate brokers have to treat those other parties with respect and honesty as colleagues in the same profession.

Rule 7.4                     
AREBI members in their cooperation with other real estate brokers have to place the interests of the provider of duty above the interests of the other real estate brokers.

Rule 7.5                     
In the case of assignment of duty where the AREBI member must cooperate with other real estate brokers and fellow AREBI members, then the AREBI member must prioritize the cooperation with fellow  AREBI members.