Standards of Practice,

Codes of Ethic And

The Contract Form

Revised Decemeber, 2003
The British Columbia Real Estate Association's Standards of Practice are guidelines for real estate inspectors to follow in the performance of their inspections. They are the most comprehensive real estate inspection guidelines with the highest standards in the inspection industry, and include all the home's major systems, components and structures.


STANDARDS of PRACTICE

1. Definitions And Scope

A. The real estate inspection is a non-invasive physical examination, performed for a fee, designed to identify material defects of the readily accessible systems, components and structures of a home and which describes those systems, components and structures in accordance with these British Columbia Real Estate Inspection Association (BCREIA) Standards of Practice as they existed at the time of the inspection.

B. A material defect is a condition that significantly affects the value, desirability, habitability or safety of a building, and a reason why it is a material defect if not self evident.

C. Unless otherwise agreed these Standards of Practice between the inspector and client shall apply to the primary building and its associated primary parking structure and the inspection performed with these standards are not intended to be technically exhaustive.

D. The real estate inspection report shall describe and identify in written format the systems, components and structures of the building and shall identify material defects and report any systems, components and structures designated for inspection in these Standards of Practice which were present at the time of the real estate inspection but were not inspected and a reason they were not inspected.

E. The inspection reports may contain recommendations regarding systems, components and structures reported or may contain recommendations for further evaluation by a specialist.

F. These Standards are not intended to limit inspectors from including any other inspection services of systems, components or structures in addition to those required by these Standards of Practice, or specifying repairs or maintenance, provided the inspector is appropriately qualified and willing to do so, or excluding systems, components and structures from the inspection if requested by the client.


2. SITE

A. The inspector shall inspect:
1. The surface grade, surface drainage, retaining walls, and vegetation on the property when any of these are likely to adversely affect the primary building and primary parking structure.
2. Walkways, patios, and driveways leading to primary building and primary parking structure entrances.

B. The inspector shall describe:
1. Walkways, patios, and driveways leading to dwelling entrances.

C. The inspector is NOT required to:
1. Inspect patio enclosures, fences, or recreational facilities.
2. Inspect geological, geotechnical or hydrological conditions.
3. Inspect items not visible from readily accessible walking surfaces.
4. Operate or inspect any drainage systems, including but not limited to underground drainage systems.
5. Inspect detached buildings and structures (other than primary parking structure).
6. Operate or inspect remote-control devices.
7. Inspect seawalls, break-walls, and docks.


3. Exterior

A. The inspector shall inspect:
1. Attached decks, balconies, stairs, porches, guard rails, handrails.
2. The exterior wall cladding, veneers, flashing, trim, eaves, soffits and fascias.
3. Exterior portions of a representative number of readily accessible doors and windows.

B. The inspector shall describe:
1. Attached decks, balconies, stairs, porches, guard rails , handrails.
2. The exterior wall cladding, veneers, flashing, trim, eaves, soffits and fascias.
3. Exterior doors and windows.

C. The inspector is NOT required to:
1. Inspect detached buildings, outbuildings and other types of structures (other than primary parking structure).
2. Operate or inspect screening, shutters, awnings, storm doors, storm windows and similar accessories.
3. Inspect items not visible from readily accessible walking surfaces.
4. Operate or inspect security locks, devices or systems.


4. Roof And Roof Drainage

A. The inspector shall inspect:
1. Roof covering(s).
2. Flashing, skylights, vents and other roof penetrations.
3. Roof drainage system.

B. The inspector shall describe:
1. Roof covering(s).
2. Flashing, skylights, vents, chimneys and other roof penetrations.
3. Roof drainage system.
4. The method used to inspect the roof and roof drainage.

C. The inspector is NOT required to:
1. Inspect interiors of flues or chimneys which are not readily accessible.
2. Antennae and other installed accessories.
3. Perform a water test, warrant or certify against roof leakage or predict life expectancy.
4. Walk on any roof surface if, in the opinion of the inspector, there is a possibility of damaging the roof surface or is a hazard to the inspector.


5. STRUCTURE

A. The inspector shall inspect:
1. The structural components including foundation and framing.
2. By probing a representative number of structural components where deterioration is suspected or where clear indications of possible deterioration exist.
3. Wood separation from soil.

B. The inspector shall describe:
1. The foundation.
2. Location of opening(s) to underfloor crawl space access and the methods used to inspect the underfloor crawl space.
3. The floor, wall and ceiling structure.
4. The drainage system or sump pumps within foundation foot print.
5. Method used to secure wood structure to foundation.
6. Location of opening(s) entered to access attic and report the methods used to inspect the attic.
7. The roof framing and sheathing.

C. The inspector is NOT required to:
1. Enter underfloor crawl space or attics that are not readily accessible or where, in the opinion of the inspector, entry could cause damage or present a hazard to the inspector.
2. Move any stored items, debris or vegetation or perform any excavations or similar intrusive testing to gain access.
3. Probe wood when probing would damage any finished surface or where no deterioration is visible.
4. Remove covers for attics or underfloor crawl spaces openings, where, in the opinion of the inspector, is not accessible or if the removal of the cover could cause injury or damage to persons or property.
5. Operate or inspect adequacy of sump pumps or any drainage system.
6. Offer an opinion as to the adequacy of any structural component or system.
7. Identify size, spacing, location or adequacy of foundation components or similar reinforcement systems.
8. Disturb or remove insulation or vapour retarders.
9. Inspect interior concrete floors-on-ground when concealed by any floor covering(s).


5. FIREPLACES AND SOLID FUEL BURNING APPLIANCES

A The inspector shall inspect:
1. The system components.
2. The vent systems, combustion air, flues, dampers and chimneys.

B. The inspector shall describe:
1. The fireplaces and solid fuel burning appliances.
2. The chimneys.

C. The inspector is NOT required to:
1. Inspect the interiors of flues or chimneys.
2. Inspect the firescreens and doors.
3. Inspect the seals and gaskets.
4. Inspect the automatic fuel feed devices.
5. Inspect the mantles and fireplace surrounds.
6. Inspect or determine adeqacy of the combustion make-up air devices.
7. Inspect the heat distribution assists whether gravity controlled or fan assisted.
8. Ignite or extinguish fires.
9. Determine adequacy of draft, perform smoke test or dismantle or remove any component.
10. Move fireplace inserts or stoves or firebox contents.
11. Examine the structural integrity of fireplaces or chimneys.
12. Operate or inspect ancillary or non-permanently installed component.
13. Operate or inspect any fireplaces or solid fuel burning appliances systems or components which are disconnected or shut down.


6. PLUMBING SYSTEM

A The inspector shall inspect:
1. The interior water supply and distribution systems including all fixtures and faucets.
2. The waste, drain and vent systems including all fixtures.
3. Functional flow of water supply and functional drainage at all fixtures.
4. The water heating equipment.
5. The vent systems, combustion air, flues, and chimneys.
6. The fuel storage and fuel distribution systems.
7. Gas piping and connections.
8. Cross connections.
9. The drainage sumps, sump pumps, and related piping.

B. The inspector shall describe:
1. The water supply.
2. Waste, drain and vent piping materials.
2. The water heating equipment including the energy source.
3. The location of main water and main fuel shut-off valves.

C. The inspector is NOT required to:
1. Determine whether the water supply and waste disposal systems are public or private.
2. Determine the quantity or quality of the water supply.
3. Inspect the clothes washing machine connections.
4. Inspect the interiors of flues or chimneys which are not readily accessible.
5. Inspect(including, but not limited to) wells, well pumps, or water storage related equipment.
6. Inspect water conditioning systems.
7. Inspect solar water heating systems.
8. Inspect fire and lawn sprinkler systems.
9. Inspect swimming pools, spas, and related equipment.
10. Inspect private waste disposal systems including but not limited to: septic tanks, and/or underground system or portion thereof, or ejector pumps for rain or waste.
11. Operate or inspect adequacy of sumps, sump pumps and piping or drainage system.
12. Inspect any valve other than fixture faucets and hose faucets attached to the building.
13. Operate or inspect safety valves or shut-off valves.
14. Operate or evaluate adequacy the overflow device of any fixture.
15. Operate or inspect any system, fixture or component which is disconnected or shut down.
16. Test shower pans for leakage or fill any fixture with water during the real estate inspection.
17. Evaluate the gas supply system for leaks or pressure.
18. Evaluate if sufficient-clean outs are provided for effective cleaning of waste and drain pipes.
19. Evaluate oil, gas or liquid propane storage tanks.
20. Evaluate time required for any fixture to obtain hot water or perform any water heater element testing.
21. Inspect or determine adeqacy of the combustion make-up air devices.


7. ELECTRICAL SYSTEM

A The inspector shall inspect:
1. The service drop.
2. The service entrance conductors, cables, and raceways.
3. The service equipment and main disconnects.
4. The service grounding.
5. The interior components of service panels and sub panels.
6. The conductors.
7. The overcurrent protection devices.
8. A representative number of installed lighting fixtures, switches, and receptacles.
9. The ground fault circuit interrupters.

B. The inspector shall describe:
1. The service meter amperage and type.
2. Grounding method of electrical service.
3. The amperage and voltage rating of the service.
4. The location of main disconnect(s) and sub panels.
5. The wiring methods.
6. On the presence of solid conductor aluminum branch circuit wiring.
7. The absence of smoke detectors and carbon monoxide detectors.

C. The inspector is NOT required to:
1. Inspect the remote control devices unless the device is the only control device.
2. Inspect the alarm systems and components.
3. Inspect the low voltage wiring, systems and components.
4. Inspect the ancillary wiring, systems and components not apart of the primary electrical power distribution system.
5. Operate or inspect any electrical systems or components which are disconnected or shut down.
6. Remove deadfront covers where not readily accessible or if removal, in the opinion of the inspector, could cause injury or damage to persons or property or remove device cover plates.
7. Disconnect any energized systems or appliance.
8. Operate or inspect any private or emergency electrical supply sources, including but not limited to any generators, windmills, photovoltaic collectors, or battery, or electrical storage facilities
9. Operate or inspect any de-icing equipment
10. Operate ground fault circuit interrupters devices by any means except by manufacture's test button.
11. Measure amperage, voltage, or impedance.
12. Operate any overcurrent protection devices or evaluate its compatibility with the panelboard manufacture.
13. Operate or evaluate carbon monoxide detectors, smoke detectors or fire detectors or any similar safety device.


8. HEATING SYSTEM

A The inspector shall inspect:
1. The installed heating equipment and use normal operating controls.
2. The vent systems, combustion air, flues, and chimneys.
3. Energy source and connections.
4. Heat distribution system, including a representative number of ducting, duct insulation, outlets, radiators, piping system and valves.

B. The inspector shall describe:
1. The energy source.
2. The heating method by its distinguishing characteristics.
3. The location of main fuel shut-off valves.

C. The inspector is NOT required to:
1. Inspect the interiors of flues or chimneys which are not readily accessible.
2. Inspect the heat exchanger.
3. Inspect the humidifier or dehumidifier controls, components or systems.
4. Inspect the electronic air filtering components or systems.
5. Inspect the solar energy heating components or system.
6. Operate or Inspect any system, fixture or component which is disconnected or shut down.
7. Determine heat supply adequacy or distribution balance to any room or building.
8. Determine or examine thermostat calibration, heat anticipation or any automatic setbacks or clocks.
9. Inspect radiant or geothermal heat pump components or systems.
10. Operate heat pump systems when ambient air temperature may damage the equipment or when heat pump system is in emergency heat mode.
11. Inspect or determine adeqacy of the combustion make-up air devices.


9. AIR CONDITIONING SYSTEMS

A The inspector shall inspect:
1. The installed central, through-wall cooling equipment and use normal operating controls.
2. Cooling distribution system, including a representative number of ducting, duct insulation, outlets, piping system and valves.
4. Energy source and connections.
5. Condensation drains.

B. The inspector shall describe:
1. The energy source.
2. The cooling method by its distinguishing characteristics.
3. The location of main fuel shut-off valves.

C. The inspector is NOT required to:
1. Inspect the electronic air filtering components or systems.
2. Determine cooling supply adequacy or distribution balance to any room or building.
3. Inspect electrical current, coolant leaks, coolant fluids or gases.
4. Inspect the humidifier or dehumidifier controls, components or systems.
5. Determine or examine thermostat calibration, cooling anticipation or any automatic setbacks or clocks.
6. Inspect any non-central or through wall cooling unit(s) or , food, wine or similar storage cooling systems, or gas-fired, solar or geothermal cooling systems.
7. Operate cooling systems when exterior ambient air temperature may damage the equipment.
8. Operate or inspect any air conditioning systems or components which are disconnected or shut down.


10. INSULATION AND VENTILATION

A The inspector shall inspect:
1. The insulation and vapour retarders in unfinished
2. The ventilation of attics and foundation areas.
3. The mechanical ventilation systems.

B. The inspector shall describe:
1. The insulation and vapour retarders in unfinished spaces.
2. The absence of insulation in unfinished spaces in the primary building conditioned surfaces.
3. Insulation material and ventilation of attics and underfloor crawl spaces.
4. On the absence of mechanical ventilation for kitchen(s), bathroom(s), and washroom(s).

C. The inspector is NOT required to:

1. Remove covers for attics or underfloor crawl spaces openings, where in the opinion of the inspector, is not accessible or if the removal of the cover could cause injury or damage to persons or property.
2. Disturb or remove insulation or vapour retarders.
3. Determine indoor air quality.
4. Activate thermostatically operated fans.
5. Determine adequacy of insulation or ventilation for any room or building.
8. Operate or inspect any ventilation systems or components which are disconnected or shut down.


11. INTERIOR

A The inspector shall inspect:
1. The walls, ceilings, and floors.
2. The steps, stairways, guard rails and handrailings.
3. The countertops and a representative number of installed cabinets.
4. A representative number of doors and windows.
5. Primary parking structure doors and vehicle door installed operators.

B. The inspector shall describe:
1. The walls, ceilings, and floors.
2. The doors and windows.
3. The primary parking structure and vehicle door(s).

C. The inspector is NOT required to:
1. Inspect the paint, wallpaper, and other finish treatments.
2. Inspect floor, wall, ceiling finishes or coverings or other surfaces for other than evidence of moisture damage.
3. Inspect door and window coverings or treatments.
4. Inspect the central vacuum systems.
5. Inspect the household appliances.
6. Inspect any recreational facilities.
7. Inspect interior concrete floors-on-ground when concealed by any floor covering(s).
8. Evaluate separation between, walls, floors and ceilings, including but not limited to the fire resistivity or acoustic characteristics, between any rooms or dwelling units.
9. Operate or inspect any system or component which are disconnected or shut down.

12. GENERAL LIMITATIONS, EXCEPTIONS AND EXCLUSIONS

A. General limitations:

1. Inspections performed in accordance with these Standards of Practice are not technically exhaustive, will not identify concealed conditions or latent defects.

2. The inspector may limit the inspection to individual specific systems, components and structures of the building, and in such an event, the inspector shall confirm in the report that the inspection has been limited to such individual specific items systems, components and structures of the building.

B. General exclusions:

1. The inspector may exclude from the inspection any system, component or structure of the building that is inaccessible, concealed from view, or can not be inspected due to any circumstance beyond the control of the inspector or which the client has agreed is not to be inspected and the inspector shall confirm in the report such specific system(s), component(s) or structure(s) of the building not inspected and the reason(s) why it was excluded.

C. The following are excluded from the scope of the real estate inspection unless otherwise agreed to by both the client and the inspector:

1. Systems, components and structures not specifically identified in these Standards of Practice.
2. Certain factors relating to any systems, components or structures the building, including, but not limited to the market value of the property, its marketability, advisability of the purchase of the property, operating costs, quality, durability or remaining useful life, efficiency, adequacy, or any future conditions of including, but not limited to, failure of systems, components and structures.
3. The presence of including, but not limited to any and all potentially hazardous plants, animals, insects, mold, mildew, rodents wood destroying organisms or diseases harmful to humans.
4. Any and all environmental hazards including, but not limited to toxins, combustibles, wildfire, corrosive contaminants, reactive, carcinogens, noise, geologic, flood and contaminants in soil, water, and air.
5. Geotechnical, engineering, structural, geological, architectural, hydrological, land surveying or any soils related examination.
6. Common elements, common areas, or any of the systems, components or structures thereof, in multi-unit housing, such as but not limited to condominium properties or cooperative housing.
7. Underground items including, but not limited to underground storage tanks or other underground indications of their presence, whether abandoned or active.
8. Systems, components and structures of the building which are not permanently installed.
9. Decorative items.


D. General Exception

1. The inspector is not required to perform any action or make any determination unless specifically stated in these Standards of Practice, except as may be required by lawful authority.

E. The inspector is NOT required to perform as a part of a real estate inspection any of the following:

1. Determine if a building is secure from forcible or unauthorized entry.
2. Move any personal items or property, suspended ceiling tiles, floor or wall coverings furniture, equipment, plants, soil, snow, ice, appliances, shelving, storage or debris or similar items which may obstruct visibility or access.
3. Dismantle any system, component or structure, except as explicitly required by these Standards of Practice, or perform any intrusive or destructive examination, test or analysis.
4. Perform any procedure or operation which may, in the opinion of the inspector, may likely be dangerous to the inspector or other persons or damage the property or it's systems, components or structures.
5. Research the history of the property, report on its potential for any alteration, modification, extendibility or its for any specific use or occupancy or compliance with any regulatory requirements (such as, but not limited to codes, by-laws and regulations).
6. Obtain or review any information from third-parties including but limited to government agencies (such as permits or zoning), component or system manufacturer's (including product defects, recalls or similar notices), contractors, managers, sellers, occupants, neighbours, consultants, homeowner or similar associations, attorneys, agents or brokers.
7. Offer any form of warranty or guarantee.
8. Determine the causes for the need of repair or replacement, or specify repair or replacement procedures, materials or costs.
9. Determine the strength, probe or exert pressure on any system, component or structure.
10. Examine every individual component of a system or structure, where such components are typically replicated, including but not limited to doors, windows, switches, and receptacles. A representative number may be performed in order to examine such systems, components and structures of a building.
11. Determine the age of construction or installation of any system, component or structure of a building or determine the difference between original construction or any subsequent additions, improvements, renovations, or replacement thereto.
12. Examine or evaluate acoustical or other nuisance characteristics of any system, component or structure of a building, complex, adjacent properties or neighbourhood.
13. Examine or evaluate fire-resistive qualities of any system, component or structure of a building.
14. Operate any system or component which is shut down or otherwise inoperable or which does not respond to normal operating controls.
15. Determine the condition of systems, components or structures which are not readily accessible.
16. Operate any shut-off valves.
17. Enter or inspect any area which may, in the opinion of the inspector, likely be dangerous to the inspector or other persons or damage the property or its systems, components or structures, or enter the underfloor crawl spaces or attics which are not readily accessible in the opinion of the inspector.
18. The effectiveness of any system installed or methods utilized to control or remove suspected hazardous substances.


GLOSSARY OF ITALICIZED TERMS

ACCESSIBLE: Can be approached or entered safely by the inspector without difficulty or damage to the system, component or structure.

ALARM SYSTEMS: Warning devices, installed or free-standing, including but not limited to: carbon monoxide detectors, flue gas and other spillage detectors, security equipment, ejector pumps and smoke alarms.

AUTOMATIC SAFETY CONTROLS: Devices designed and installed to protect systems and component from unsafe conditions.

BUILDING: The primary building subject of the inspection, designed and erected for the purpose of human occupancy or use, as in a dwelling.

COMPONENT: A part of a systems.

CROSS CONNECTION: A connection between two otherwise separate systems, one of which is potable water and the other waste, sewage or other source of contamination.


DECORATIVE: Ornamental; not required for the operation of the essential systems and components of a home.

DESCRIBE: To report a system or component by its type or other observed, significant characteristics to distinguish it from other systems or components.

DESTRUCTIVE: To demolish, damage, or probe any system, component or structure, or to dismantle any system, component or structure that would not be taken apart by an ordinary person in the course of normal maintenance.

DETERMINE: Arrive at an opinion or conclusion pursuant to real estate inspection.

DISMANTLE: To take apart or remove any component, device or piece of equipment that would not be taken apart or removed by a homeowner in the course of normal and routine home owner maintenance.

EVALUATE: To assess systems, structures or components of a building during the real estate inspection.

EVIDENCE: Plainly visible and apparent material objects or other things presented to the senses that would tend to produce conviction in the mind of an ordinary person as to the existence or non-existence of a fact.

EXAMINE: To visually look for and to identify material defect in systems, components or structures of a building through a non-invasive, physical, inspection. using normal operating controls and opening readily openable access panels.

FURTHER EVALUATION: Examination and analysis by a person qualified by virtue of special knowledge , training or resources to further examine a system, component or structure, as in the manner of a specialist which is beyond that of a typical and customary non-invasive physical examination provided by the real estate inspection.

HOUSEHOLD APPLIANCES: Kitchen, laundry, and similar appliances, whether installed or free-standing.

INSPECT: To examine readily accessible systems, components and structures of a building in accordance with these Standards of Practice, using normal operating controls and opening readily openable access panels.

INSPECTOR: A person hired to examine any system, components or structure of a building in accordance with these Standards of Practice.

INSPECTION: A non-invasive physical examination, performed for a fee, designed to identify material defects of the readily accessible systems, components and structures of a home and which describes those systems, components and structures in accordance with these Standards of Practice as they existed at the time of the inspection.

INSTALLED: Attached such that removal requires tools.

INTRUSIVE: To demolish, damage, or probe any system, component or structure, or to dismantle any system, components or structure that would not be taken apart by an ordinary person in the course of normal maintenance.

LATENT DEFECTS: A defect that would require destructive testing or removal of a cover to detect.

MATERIAL DEFECT: Is a condition that significantly affects the value, desirability, habitability or safety of a building.

NORMAL OPERATING CONTROLS: Devices such as thermostats, switches or valves intended to be operated by the homeowner.

PRIMARY BUILDING: The building subject of the inspection, designed and erected for the purpose of human occupancy or use, as in a dwelling.

PRIMARY PARKING STRUCTURE: A building for the purpose of vehicle storage associated with the primary building.

READILY ACCESSIBLE: Available for visual inspection without requiring moving of personal property, dismantling, destructive measures, or any action which will likely involve risk to persons or property.

READILY OPENABLE ACCESS PANEL: A panel provided for homeowner inspection and maintenance that is within normal reach, can be removed by one person, and is not sealed in place.

REAL ESTATE INSPECTION: A non-invasive physical examination, performed for a fee, designed to identify material defects of the readily accessible systems, components and structures of a home and which describes those systems, components and structures in accordance with these Standards of Practice as they existed at the time of the inspection.

RECREATIONAL FACILITIES: Spas, saunas, steam baths, swimming pools, exercise, entertainment, athletic, playground or other similar equipment and associated accessories.

REPORT: Describe and identify in written format the systems, components and structures of the building and shall identify material defects and report any systems, components and structures designated for inspection in these Standards of Practice which were present at the time of the real estate inspection but were not inspected and a reason they were not inspected.

REPRESENTATIVE NUMBER: One component per room for multiple similar interior components such as windows and electric outlets; one component on each side of the building for multiple similar exterior components or enough like others in the same class or kind to serve as an example of its class or kind.

ROOF DRAINAGE SYSTEMS: Components used to carry water off a roof and away from a building.

SHUT DOWN: Turned off, inactive, not-in-service, non-operational or in a state in which a system or component cannot be operated by normal operating controls.

SOLID FUEL BURNING APPLIANCES: A hearth and fire chamber or similar prepared place in which a fire may be built and which is built in conjunction with a chimney; or a listed assembly of a fire chamber, its chimney and related factory- made parts designed for unit assembly without requiring field construction.

STRUCTURE: A combination of interacting systems and components assembled to function as a whole.

STRUCTURAL COMPONENT: A components which supports non-variable forces or weights (dead loads) and variable forces or weights (live loads).

SYSTEM: A combination of interacting or interdependent components assembled to function as a whole.

TECHNICALLY EXHAUSTIVE: A comprehensive and detailed examination of a building beyond the scope of a real estate inspection which includes, but is not limited to an investigation that involves dismantling, the extensive use of advanced techniques, measurements, instruments, testing, calculations, or other means.

UNDERFLOOR CRAWL SPACE: The area within the confines of the foundation and between the ground and the underside of the floor.

UNSAFE: A condition in a readily accessible, installed system or component which is judged to be a significant risk of personal injury during normal, day-to-day use. The risk may be due to damage, deterioration, improper installation or a change in accepted residential construction standards.

WIRING METHODS: Identification of electrical conductors or wires by their general type, such as "non-metallic sheathed cable" ("Romex"), "armored cable" ("bx") or "knob and tube", etc.


CODE OF ETHICS

1. The real estate inspector shall adhere to and practice the profession in accordance to the Code of Ethics, and shall make every effort to maintain and improve the professional integrity and reputation of the real estate inspection profession and will report any relevant information concerning possible violations of this Code of Ethics by other members to BCREIA for possible remedial action.

2. The real estate inspector shall make every effort to uphold the honour and dignity of their profession and avoid association with any enterprise of questionable character, and avoid any conflict of interest.

3. The real estate inspector shall not make representations regarding their services or qualifications that are false or misleading in any material respect and will express an opinion only when it is based on practical experience and honest conviction.

4. The real estate inspector shall not offer or deliver any compensation, inducement, or reward to the owner of the property inspected, the broker, agent, for the referral of any business to the real estate inspector or the real estate company.

5. The real estate inspector shall always act in good faith toward each client and will discharge their duties with fidelity to the public, to their clients, and with fairness and impartiality to all.

6. The real estate inspector will not disclose any information concerning the results of the inspection without authorization of the clients or their representatives.

7. The real estate inspector shall not accept compensation, financial or otherwise, from more than one interested party for the same service without the consent of all interested parties.

8. The real estate inspector shall avoid conflicts of interest with regard to their professional activities, financial considerations or other interest, and as soon as the real estate inspector becomes reasonably aware that an apparent or potential conflict of interest exists, the real estate inspector shall refrain from providing services or opinions until full disclosure has been made, and the conflict waived in writing by the appropriate parties.

9. The real estate inspector shall promptly disclose to the client any interest in a business which may affect the client.

10. The real estate inspector shall not perform or offer to perform, for any fee, any repairs or associated services to a building on which the real estate inspector or the real estate inspection company has prepared a real estate inspection report.


CONTRACT FROM

Although this is a professional, unbiased opinion, based on visual observations that existed at the time of the inspection, there are limitations to a visual inspection without dismantling the house, systems and its components. A visual inspection will reduce the risk of purchase, but a visual inspection will not eliminate all the risks of purchase. Our intention is to provide our client with a better understanding of the property conditions, as observed at the time of the inspection. Our objective is to identify major defects that exist at the time of the inspection that would affect a client's decision. Not all minor defects will be noted and a certain amount of money should be budgeted for these unforeseen defects. Usually about one to two percent of the purchase price will cover additional maintenance and repairs costs each year. Further evaluation may be warranted, and strongly recommended, if there are new finishes, such as recent repair or painting, as this may be attempt to conceal a past or active problem prior to purchase.

The Client(s) And The Inspector Acknowledge And Agree As Follows:

(1) The Client hereby requests that the Inspector perform a real estate inspection of the Subject Property and prepare a written report thereof subject to the following limitations and conditions, each of which are acknowledged, understood and accepted by the Client;

1. The inspection shall be performed in accordance with the Standards of Practice of the British Columbia Real Estate Inspection Association, a copy of which is attached hereto as Schedule "A" and initialed by the Client;

2. The Inspection Report constitutes an opinion of the Present Condition of the property based on a visual inspection of the readily accessible and visible major systems, components, structures, and equipment of the primary building and primary parking structure on the Property;

3. The inspection and Inspection Report do not constitute a guarantee, warranty or an insurance policy;

4. The Client is encouraged to participate in the visual inspection process and accepts responsibility for the consequences of electing not to do so, ie incomplete information being available to the Inspector. The Client's participation shall be at the Client's own risk for injuries, falls, property damage, etc.;

5. The condition of certain systems, components and equipment will be randomly sampled by the Inspector. Examples of such systems, components and equipment are window and door operation, hardware, electrical receptacles, switches and lights, cabinet doors and drawers, soffit covering, mortar, masonry, exterior paint integrity and roof covering materials;

6 .Weather conditions may limit the extent of the inspection process; the Client hereby, releases and waives any claim it may have against the Inspector for omissions or inaccuracies in the Inspection Report arising as a result of weather conditions existing at the time of inspection;

7. The Inspection Report is for the confidential use of the Client only and will not be disclosed to third parties such as real estate agents, sellers, or lenders without the express written consent of the Client. The Client shall protect and indemnify the Inspector from and against any claim against the Inspector by any such third party arising from disclosure of the Inspection Report thereto; The Client authorizes the Inspector to disclose the Inspection Report to third parties. Yes______ No______

8 .The Client and the Inspector hereby agree that all disputes arising in relation to the inspection and Inspection Report shall be referred to and resolved by binding arbitration pursuant to the applicable legislation governing commercial arbitrations;

9. In the event that the Client claims damages against the Inspector and does not prove those damages, the Client shall pay all legal fees, arbitrator's fees, legal expenses and costs incurred by the Inspector in defense of the claim;

10. The Inspector shall not be liable to the Client for the cost of any repairs to or replacement of any system, component, or equipment undertaken by the Client without prior consultation with the Inspector;

11. The Inspector's total liability to the Client for mistakes, errors or omissions in the Inspection and Inspection Report shall be limited to the amount of the fee paid for the Inspection.

(2) The fee payable at the time of the visual inspection of Subject Property shall be as follows:

Inspection Fee:$300.00 (Three Hundred Dollars) One Visit To Property

Total Cost of Inspection $300.00 (Three Hundred Dollars)

Payable At Time of Inspection to Gerry Morden

Paid In Full $______.00

(3) By signing this Property Inspection Contract the Client acknowledges, covenants and agrees that:

1. The Client understands and agrees to be bound by each and every provision of this Contract;

2. The Inspector has not made any representations or warranties other than those contained in this Contract;

3. The Client has had such legal advice as the Client desires in relation to the effect of this Contract on the Client's legal rights;

4. The Client shall pay the fees herein before described to the Inspector without set-off or deduction and pay in full upon completion of inspection.

(4) Time limits for legal action:

The client acknowledges and agrees that the time limit for commencement of legal proceedings by the client against the Inspector for damages suffered by the client as a result of alleged negligence or breach of contract by the inspector shall be not later than one (1) year from the date of the inspection reports herein before described. From and after the expiry of one (1) year from the date of the said inspection report any claim of the client against the inspector and or the inspectors' employees, agents and servants arising from or in relation to this contract and or the services provided hereunder shall expire and cease to exist for all purposes and the clients right to commence proceedings against the inspector and or the inspectors employees agents and servants shall thereupon be barred and cease to exist for all purposes.


_____________________________________ _________________________________

Client's Or Authorized Representative' Signature

Print Name Print Name


_____________________________________ _________________________________

Inspector's signature Witness:

Print Name Gerry Morden