15.3 Articles 10–14 & the IREM Ethics Process

Article 10 — Compliance with Laws and Regulations

Article 10 requires a member to conduct business and personal activities with knowledge of and in compliance with all applicable laws and regulations. The article does not turn an ARM into legal counsel; it requires a disciplined compliance system and qualified advice when rules are uncertain.

Identify governing federal, state, and local requirements for fair housing, landlord-tenant relations, employment, licensing, building and fire safety, environmental hazards, privacy, consumer reports, funds, and other property functions. Track changes, update procedures, train affected staff, and document compliance. Client pressure or a local custom does not excuse a violation.

Because law changes, avoid memorizing unsupported universal deadlines. In a scenario, use the law stated in the facts; in practice, verify the current jurisdictional rule.

Article 11 — Equal Opportunity

Article 11 says a member shall not deny equal employment opportunity or equal professional services for reasons of race, color, religion, sex, familial status, national origin, age, sexual orientation, gender identity, or ability status and shall comply with applicable equal-opportunity laws and regulations.

This is IREM's professional ethical list. Do not confuse it with the federal Fair Housing Act's statutory seven classes or with a particular employment statute. State and local laws may add categories or use different terminology. The manager must satisfy both the Code and the law applicable to the activity.

Operationally, use written job-related or housing-related criteria, consistent processes, accommodation procedures, accessible service, controlled data, and review of outcomes and complaints. Equal service includes applicants, residents, clients, employees, vendors, and other people receiving professional services as the context requires.

Article 12 — Duty to Tenants and Others

Article 12 requires competent management with due regard for the rights, responsibilities, and benefits of tenants or residents and others lawfully on the property. A member must not act in conscious disregard for their safety and health.

Client loyalty does not erase resident rights. Examples include responding to an active gas odor, protecting a known unsafe area, maintaining lawful essential services, handling personal data responsibly, providing required notices, and applying lease rules consistently. “Conscious disregard” is not a license to ignore lesser problems; competent management also includes ordinary preventive and corrective work.

Article 12 does not promise a risk-free property. The manager should use reasonable systems to receive reports, triage hazards, deploy qualified response, communicate, document, and verify correction.

Article 13 — Duty to Report Violations

Each member has a responsibility to give IREM significant factual information that reasonably suggests another member may have violated the Code. The information must be presented as IREM's Bylaws and policies specify.

The standard is factual information, not rumor, retaliation, or a demand for certainty before reporting. Preserve relevant evidence, distinguish observation from inference, protect confidentiality, and use the official complaint process. Do not conduct unauthorized surveillance or publish an accusation to social media.

A settlement elsewhere does not automatically decide IREM's ethics process. Once filed, a complaint is governed by IREM procedure rather than the parties' private preference alone.

Article 14 — Enforcement

Article 14 assigns interpretation and compliance to IREM's ethics panels. Violations and discipline are determined under IREM's Bylaws and policies, and the result is final and binding as the Code states.

IREM describes three peer-review bodies:

1. Ethics Inquiry Panel — receives and reviews complaints and determines whether a possible Code violation should move forward or be dismissed.
2. Ethics Hearing and Discipline Panel — conducts a hearing on a referred complaint, decides whether a violation occurred, and determines discipline.
3. Ethics Appeal Panel — hears permitted appeals from adverse hearing-panel decisions under the applicable procedures.

These roles should not be replaced with a fictional “chapter ethics committee,” guaranteed 30-day preparation period, or a universal evidentiary standard unless the current governing policy states it for the matter.

Discipline

Current IREM materials identify these possible sanctions:

• a letter of censure, which may be published or unpublished and may be conditional;
• suspension of membership or status for no more than three years, with publication and loss of membership benefits during the suspension while dues and obligations remain current; and
• expulsion from membership or status, with publication and eligibility to apply again after no less than five years, subject to the policies then in effect.

A condition can require a specified corrective act, such as ethics education or another relevant task. Failure to meet a condition can lead to additional consequence. The hearing body may also determine that no discipline is warranted even after a finding, as current policy allows.

Do not describe this as four mandatory progressive levels, a private warning followed automatically by reprimand, or irreversible permanent revocation. Severity, conditions, publication, and appeal follow the current IREM governing documents and decision.

Ethical decision framework

When facts are difficult:

1. identify the stakeholders and exact Code articles;
2. verify facts, authority, contract, and governing law;
3. identify personal, firm, client, resident, and public interests;
4. consider lawful options and foreseeable consequences;
5. seek authorized advice without disclosing information unnecessarily;
6. choose the option that complies with law and the Code;
7. document the decision and communicate to the right people; and
8. follow through and report a member violation through the official process when Article 13 applies.

Scenario

An owner orders an ARM to delay correcting a known exposed electrical hazard in a common area until after refinancing photos are taken. The manager should restrict access and obtain qualified response, document and escalate the instruction, and comply with law. Articles 1 and 8 require protection of the client's interests and assets, Article 10 requires legal compliance, and Article 12 protects people lawfully on the property. Loyalty does not require obedience to an unsafe unlawful command.

Exam approach

Use the current article titles and distinguish ethical standards from statutory law. For process questions, remember inquiry, hearing/discipline, and appeal. For sanctions, remember censure, suspension up to three years, and expulsion with possible reapplication after at least five years—not a guaranteed progressive ladder.