e130131 Can I run a promotion to give away a trip to realtors?
Identifier: e130131
Date: 03/16/2013
This is clearly a violation of the ASHI Code of Ethics 1C. Inspectors shall not directly or indirectly compensate realty agents, or other parties having afinancial interest in closing or settlement of real estate transactions, for the referral of inspections or for inclusion on a list of recommendedinspectors, preferred provider or similar arrangements. Having a raffle to give away a trip to any or all agents, since they all have an interest in closingreal estate transactions, is an indirect compensation. ASHI CoE 1C doesn't refer to just closing real estate transactions where the inspector was involved, but to simply closing of real estate transactions.
RFIe060217 touched on this issue back on 4/27/2006, when the decision of the committee in place at that time stated: If the promotional contest is offered to real estate agents, contingent upon providing client referrals to the inspector, it would be a form of compensation for such referrals, in violation of 1.C ofthe Code of Ethics. In the case of e130131 the second way a Realtor can enter would be though receipt of an entry form received along with a thank you note from a referring agent. That is a clear violation of 1.C of the Code of Ethics.
Receiving referrals so they can be entered in a drawing for a trip might lead a Realtor to refer a specific home inspector over another, for that reason alone, and inthe mind of the home buying client the perception would be that the inspector was paying for referrals. This is a clear violation of 1.C of the Code of Ethics.
Reference: ASHI CoE:
Date of Response 03/16/13