Scenario: Thinking of Buying or Selling

Group Size: 4-15

Scenario

André recently received his posting message to a unit on the West Coast. Everyone in his family is excited for the move.

They’ve spoken to some real estate agents about the sale of their current house, but they haven’t yet decided which agent they will choose. One of the agents called Sylvie this morning to discuss a special incentive if they list their house with her.

“What incentives?” André asks Sylvie. “She knows the military is paying for this move, like all our previous postings.”

“I reiterated that to her when she called today,” says Sylvie. “She explained that the real estate business is competitive in this area and certain companies frequently offer preferred customers an incentive. She offered us $750 to sign up with her but it seems too good to be true. It would be great though. We could put it towards the trip to California we’re planning.”

“She’s just going to give us $750 if we sign with her?” asks André. “No questions asked? We give her nothing in return?”

“Well, she would like a picture with us, with you in your uniform, all with ‘big wide smiles,’ as an endorsement for her company,” explains Sylvie.

André hasn’t heard of this type of offer before, but he thinks it could likely be a normal business practice given how the market is these days.

“I suppose it’s a good deal,” he says. “We have to list the house with someone, and the regulations don’t stipulate which company we can choose as long as they are an approved agent for the Canadian Armed Forces’ (CAF) Integrated Relocation Programme (IRP).

He calls his friend Sam, who is also being posted this summer. They speak for several minutes about the offer from the real estate agent. Sam explains that this ‘kind of thing’ is normal and was offered two smartphones as a signing bonus from a real estate agent during their last move. Sam says not to worry about it, but it still doesn’t feel right.

Categories

• Principles: Serve Canada before Self, Obey and Support Lawful Authority
• Values: Integrity, Stewardship
• Cultural themes: Service
• Misconduct types: Not Specific
• GBA Plus themes: Income
• Audience: Defence Team

Facilitator’s Guide

Learning Objectives

• Discuss the ethical obligations of “Serve Canada before Self” and “Obey and Support Lawful Authority” in this situation.
• Discuss the ethical values of integrity and stewardship in this military setting.

Facilitation Questions

1. What would you do in this situation? What are the considerations?
   • Allow open discussion from the group.
   • Ethical concerns: By accepting incentives, based on being a Defence Team member, you receive an advantage based on one’s public position which would not be acceptable per QR&O 10.39 – Dealings with Contractors and DAOD-7021, Conflict of Interest (COI).
   • Personal factors: Incentives from businesses trying to profit from affiliation with persons in a public position may often be very tempting to take advantage of.
   • Environmental factors: Defence Team members must be fully cognizant of current regulations in order to ensure that they are making good decisions by having a fully informed perspective. If in doubt, consult with your chain of command for guidance.
2. What is the ethical dilemma in this situation?
   • The temptation to take advantage of an incentive offered by a business for personal gain which can lead to a real or perceived conflict of interest.
3. What are some potential courses of action that André could take in this scenario?
   • Option 1: Review the relevant policies to ensure you make a good, informed decision and inform the business that they are putting Defence Team members, as “preferred customers” at risk of conflict of interest by making incentive offers to them that do not apply to the general public.
   • Option 2: Ignore the issue since you have heard of other CAF members taking advantage of similar incentives from businesses and have not had any repercussions.
   • Option 3: Consult with your chain of command if you are uncertain of whether a business incentive being offered is ethically correct or in breach of some policy or regulation.