1. (a) Competency. The registrant shall be knowledgeable of and adhere to the Act, the rules, the ASME and ASCE Code, and all procedures established by the department for equipment inspections or performance of a contract to install, repair, or maintain equipment. It is the obligation of the registrant to exercise reasonable judgment and skill in the performance of equipment inspections or performance of a contract to install, repair, or maintain equipment.
2. (b) Integrity. A registrant shall be honest and trustworthy in the performance of equipment inspections or performance of a contract to install, repair, or maintain equipment, and shall avoid misrepresentation and deceit in any fashion, whether by acts of commission or omission. Acts or practices that constitute threats, coercion, or extortion are prohibited. The registrant shall accurately and truthfully represent to any prospective client his/her capabilities and qualifications to perform the services to be rendered.
3. (c) Interest. The primary interest of the registrant is to ensure compliance with the Act, the rules, and the ASME or ASCE Code. The registrant's position, in this respect, should be clear to all parties concerned while conducting equipment inspections or completing the performance of a contract to install, repair, or maintain equipment.
4. (d) Conflict of Interest. A registrant is obliged to avoid conflicts of interest and the appearance of conflicts of interest. A conflict of interest exists when an inspector performs or agrees to perform equipment inspections for a building in which he has a financial interest, whether direct or indirect. A conflict of interest also exists when a registrant's professional judgment and independence are affected by his/her family, business, property, or other personal interests or relationships. A registered inspector shall withdraw from employment when it becomes apparent that it is not possible to faithfully discharge the duty and performance of services owed the client, but then only upon reasonable notice to the client.

5. (e) Specific Rules of Conduct. A registrant shall not:

   1. (1) participate, whether individually or in concert with others, in any plan, scheme, or arrangement attempting or having as its purpose the evasion of any provision of the Act, the rules, or the Standards adopted by the Commission;
   2. (2) knowingly furnish inaccurate, deceitful, or misleading information to the department, a building owner, or other person involved in equipment inspections or equipment contracts;
   3. (3) state or imply to a building owner that the department will grant a delay or waiver;
   4. (4) engage in any activity that constitutes dishonesty, misrepresentation, or fraud while performing equipment inspections or completing an equipment contract;
   5. (5) perform equipment inspections or complete an equipment contract in a negligent or incompetent manner;
   6. (6) perform equipment inspections or complete an equipment contract in a building or facility in which the registrant is an owner, either in whole or in part;
   7. (7) perform equipment inspections in a building or facility wherein the registrant, for compensation, participated in the obtaining an equipment contract of the building;
   8. (8) indulge in advertising that is false, misleading, or deceptive;
   9. (9) misrepresent the amount or extent or prior education or experience to any client; or
   10. (10) hold out as being engaged in partnership or association with any person unless a partnership or association exists in fact.

Source Note:The provisions of this §74.60 adopted to be effective December 1, 2003, 28 TexReg 10460; amended to be effective February 1, 2006, 31 TexReg 488.