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Code of Ethics & Policies

CODE OF ETHICS

PREAMBLE

The auction methodology requires a level of trust between the client, customer and auction professional that often exceeds standard business relationships. Members of the National Auction Association recognize this factor and are committed to providing the elements necessary to meet that level of trust. The NAA's Code of Ethics exists to encourage the thoughtful consideration of ethical standards for auction professionals in their fostering of those relationships. The Code of Ethics provides NAA Auction Professionals guidelines for their conduct in their business practices. The Code concludes with a complaint process to be followed should circumstances arise which deem them necessary. A violation of the NAA Code of Ethics shall not form the basis for civil liability nor can such a violation be used as a breach of duty of care in any civil litigation.

As with most Codes, the NAA Code of Ethics is based on a set of values of which the following are most reflective as well as the NAA Values Statement:

THE NAA VALUES STATEMENT

We intentionally welcome all auction professionals. We do this without adherence to any social, religious and/or political affiliation or creed. We endeavor to foster a climate of purposeful inclusion, an environment where all can feel safe, valued, cared for, and given an opportunity to form meaningful connections with each other.

  • Integrity: NAA members will act with personal and professional integrity.
  • Respect: NAA members will respect each other and support and protect diversity.
  • Fiduciary: NAA members will be committed to ensuring their Clients and Customers receive competent and ethical services.
  • Compliance: NAA members will comply with the Code of Ethics and to uphold laws and regulations required by local, state and national legislative and regulatory agencies.
  • Confidentiality: NAA members will protect confidential information.
  • Loyalty: NAA members will be loyal to the NAA and its mission.
  • Duty: NAA members owe good faith in dealings with the public.
  • Professionalism: NAA members owe good faith in dealings with other auction professionals and strive for personal and professional excellence for themselves and their colleagues.

ARTICLES VS. BUSINESS PRACTICE

The Code of Ethics is contained exclusively in the Articles below. The accompanying Business Practices are meant only to be instructive and to provide clarity. Complaints made against individuals based solely on violations of Business Practices will not form the basis of an ethics complaint that would result in an accused being subject to discipline.

RESPONSIBILITIES TO CLIENTS AND CUSTOMERS

Article I

Members pledge to protect and promote the interests of the client. This obligation of absolute fidelity to the Client's interest is primary but does not relieve members of their obligation to treat all parties to the transaction fairly.
BUSINESS PRACTICE:  Members should not promote unreasonable expectations about the outcome of an auction in the mind of a potential Client in order to secure the Client's business.
BUSINESS PRACTICE:  Members should, to assure better service to the Client and to prevent misunderstandings, enter into written agreements or, at a minimum, clear oral agreements that set forth the specific terms and conditions of the engagement.
BUSINESS PRACTICE: Members should not enter into an agreement with a Client to withhold information from the public, which would prove to be unsafe, illegal, and detrimental to the public or material to making a decision to bid.
BUSINESS PRACTICE:  Members should not make a profit on expenditures incurred for their client without their Client's prior knowledge and consent.

Article II

Members shall not accept compensation from any party, other than the Client, even if permitted by law, without the full knowledge of all the parties to the transaction.  

Article III

Members shall disclose any potential conflict of interest to a current or potential Client.

BUSINESS PRACTICE: Members should not provide professional services to their client where either they, members of their immediate family, members of their firm or any entity in which they have an ownership interest or contemplates an interest, without first disclosing such interest or contemplated interest.

Article IV

Members shall not disclose any confidential Client information without the Client's consent except as required by appropriate legal authorities.

Article V

Members shall recognize the limitations of their expertise; then seek counsel, assistance or Client referral appropriate for the circumstances.
BUSINESS PRACTICE: The concept of competency extends to members who are requested or required to travel to geographic areas where they do not have recent auction experience. Members not in a position to spend the necessary time in a market area to obtain the appropriate understanding of market conditions and appropriate licensure may find affiliating with a qualified local auction professional the appropriate response to ensure a competently conducted auction.
BUSINESS PRACTICE: Members should recognize those circumstances where the property entrusted to their care requires knowledge of product, value and marketing in order to meet the goals of the client and therefore seek the assistance of professional expertise as appropriate.

Article VI

Members owe the Customer the duties of honesty, integrity and fair dealings at all times.
BUSINESS PRACTICE: Members should provide a clear understanding of all terms and conditions of an auction. Prior to the auction, customers for real estate auctions should be provided access to a copy of the contract to be signed for the bidder's review. Following the auction, purchasers of personal property should be provided a written bill of sale and purchasers of real estate a signed copy of the contract.
BUSINESS PRACTICE: Members may participate as a bidder in an auction for which they have responsibility if allowed by the laws within that jurisdiction, they have obtained their Client's consent and have made adequate public disclosures.
BUSINESS PRACTICE: Members shall not bid on behalf of the Client unless they have made adequate public disclosure.

Article VII

Members shall not engage in activities that constitute the unauthorized practice of law and shall recommend that legal counsel be obtained when the interests of any party to the transaction would be appropriately served.

Article VIII

Members shall keep monies coming into their possession in trust for other persons in a separate, special account in an appropriate financial institution if required by law or regulation.
BUSINESS PRACTICE: Although it may not be a requirement for Members to maintain a separate account for funds held for the benefit of others, it is a recommendation of a best practice in order to fulfill their contractual, agency as well as legal responsibilities.

RESPONSIBILITIES TO THE PUBLIC

Article IX

Members shall protect the public against fraud, misrepresentation, concealment of material facts, or unethical practices in connection with the auction profession or related business. There is an affirmative obligation to disclose adverse factors of which they have personal knowledge.
BUSINESS PRACTICE:  Members should be careful at all times to present a true picture in their advertising and representations to the public. 
BUSINESS PRACTICE: Members should be careful at all times to present a true picture in their advertising and representations to the public.
BUSINESS PRACTICE: In order to protect the public and to avoid misunderstandings, members should create and retain for a reasonable period of time an audio, video and/or online data record of each auction conducted.

Article X

Members are duty bound at all times to abide by the laws and regulations, which govern the profession as well as those which, if violated, would negatively affect their ability to appropriately represent the professionalism of our industry.

RESPONSIBILITIES TO THE PROFESSION

Article XI

Members should never criticize a competitor using false or deceptive information.

Article XII

Members shall not knowingly or recklessly share confidential information about colleagues or their business practices.
BUSINESS PRACTICE: Confidential information, including financial, policies, personnel or procedures, obtained through collaboration of a joint venture, employment or otherwise should never be revealed without the written consent of the affected member.

Article XIII

Members shall follow all NAA rules and regulations. 
BUSINESS PRACTICE: Members must follow the rules of any NAA-sponsored event, including but not limited to the Anti-Harassment Policy.
BUSINESS PRACTICE: Members must follow the rules of the NAA administered social media platforms.

Article XIV

Members shall participate in all investigations and disciplinary proceedings when requested.
BUSINESS PRACTICE: In order for any professional organization to earn and maintain the confidence of the constituencies it serves it must demonstrate to them the ability to "police" its own. Members have the unique ability to observe and therefore assist in the stewardship of this trust. Members have an obligation to assist the NAA and its officers in all matters, including the investigation, censure, discipline or dismissal of members.

PER SE  VIOLATIONS1

Article I

A member's conviction of a felony involving the member acting as an auction professional, or otherwise participating in an auction, shall be deemed an automatic violation of the Code of Ethics and require no further action. The Board of Directors will determine appropriate discipline.

Article I

During the period a Member owes an unpaid and/or unsatisfied civil, criminal, or regulatory cost, damage, fine, judgment, penalty, sanction, or other amount which was awarded, entered, levied, or ordered against the Member by an agency, authority, board, bureau, commission, court, department, or other arm of government shall result in the member being in violation of the Code of Ethics and require no further action. The Board of Directors will determine appropriate discipline.

Article I

During the period a member's auctioneer license is revoked by a licensing authority in any jurisdiction within the United States for misconduct, wrongdoing, or another violation that occurred in connection with the Member acting as an auction professional, or otherwise participating in an auction, shall result in a Member being deemed in violation of the Code of Ethics and requires no further action The Board of Directors will determine appropriate discipline.

Per Se1 violations are automatic violations of the Code of Ethics and require no further action. Only actions occurring after the ratification of the Code will be applicable.

PROCEDURE FOR GRIEVANCE AGAINST THE CODE OF ETHICS

Upon receipt of a written grievance alleging that a Member has violated the Code of Ethics, the Chief Executive Officer (CEO) shall consult with the Chairman of the NAA Board of Directors who serves as chair of the Grievance Committee (which also includes other members of the Executive Committee) to ascertain if the complaint is appropriate for processing. Grievances will not generally be considered until all pending regulatory, legal or civil actions have been resolved. The complaint must allege a violation of one or more Articles of the Code. The Business Practices serve only to clarify the ethical obligations imposed by the Articles.

Complaints based solely on alleged Business Practices shall not form the basis of an ethics complaint that would result in the accused being subject to discipline.

If the CEO and Chairman agree the complaint should be processed, the CEO shall forward a copy of the written complaint to the accused Member and request that the accused Member provide a response in writing to such charges within 30-days. Once the accused Member has forwarded his/her response, the CEO and Chairman will review the information provided to determine if the file is complete.

The CEO may request more information from either the complainant and/or the accused Member. Once the investigation is complete, the CEO shall forward the complaint and the written response to the Grievance Committee. If a member of the Grievance Committee has a conflict of interest with either the person making the complaint or the accused, the Grievance Committee member must recuse himself or herself from the process.

The Grievance Committee may a) seek more information; b) find no grievance; c) make a recommendation of a grievance to the NAA Board of Directors. The CEO will communicate the Committee's decision to the accused Member. If the Complaint Committee makes a recommendation of a grievance to the NAA Board, the accused Member will be given the opportunity to come before the Board to present his/her case.

The accused Member may introduce such documentary evidence and present such testimony of witnesses, sworn by the Chairman, as the Board of Directors shall reasonably be deemed relevant to the issues. At the conclusion of the hearing, the Board of Directors, as soon as it is practically possible, but not later than two (2) weeks thereafter, shall consider the evidence and render a written opinion and decision.

The Board may a) seek more information; b) find no grievance; c) accept the Grievance Committee's recommendation and determine the appropriate discipline, which could include: public or private censure, suspension, or expulsion, including prohibiting them from using their professional designation for the time period they are not a member. At the Board’s discretion, expelled members may be given an opportunity for reapplication for membership after satisfying appropriate discipline. The decision shall be conveyed to the Member by certified mail within 21 days of the completion of the Board meeting. The accuser will be notified of the Board's decision at the conclusion of the process.

Anti-Harassment Policy

Approved by the NAA Board on December 12, 2020. Revised on March 11, 2021.

PREAMBLE

We intentionally welcome all auction professionals. We do this without adherence to any social, religious and/or political affiliation or creed. We endeavor to foster a climate of purposeful inclusion, an environment where all can feel safe, valued, cared for, and given an opportunity to form meaningful connections with each other.

The NAA Board of Directors adopted this values statement at their April 8-9, 2019 meeting and it articulates the reason that this anti-harassment policy exists. Our association is a blend of people, their beliefs and traditions. While all members and participants are expected to engage in consensual and respectful behavior and to preserve NAA’s standard of professionalism at all times, we understand that harassment can occur at conferences and meetings (both virtual and live) and on social media as well.

According to the American Society of Association Executives (ASAE), an effective anti-harassment policy should include (but is not limited to) the following elements:

  • Underlying principles
  • Definition of harassment
  • Clear reporting procedures and potential sanctions
  • Anti-retaliation provision
  • False accusation provision

This policy will be communicated in materials (digital and print) provided to event attendees as well as on the organization’s website as an indication of the commitment to providing an environment free of harassment.

DEFINITION OF HARASSMENT

Harassment is strictly prohibited. Harassment is verbal or physical conduct that denigrates or shows hostility or aversion toward an individual.

Harassing conduct includes, but is not limited to epithets, slurs or negative stereotyping; threatening, intimidating, or hostile acts; denigrating jokes, and display or circulation in the workplace of written or graphic material that denigrates or shows hostility or aversion toward an individual or group (including through electronic/digital medias such as text messages, email or on social medias). Any such conduct is unacceptable at any NAA event or associated social gatherings.

Sexual harassment may occur whenever there are unwelcome sexual advances, requests for sexual favors, or any other verbal, physical or visual conduct of a sexual nature. Sexual harassment may include a range of subtle and not so subtle behaviors and may involve individuals of any combination of gender. These behaviors may include, but are not limited to:

  • Unwanted sexual advances or requests for sexual favors;
  • Sexual jokes and innuendo
  • Verbal abuse of a sexual nature
  • Commentary about an individual’s body, sexual prowess or sexual deficiencies;
  • Leering;
  • Catcalls or touching;
  • Insulting or obscene comments or gestures;
  • Display or circulation in the workplace of sexually suggestive objects or pictures (including through electronic/digital medias such as text messages, email or on social medias).
  • And other physical, verbal or visual conduct of a sexual nature.

Such examples are illustrative, not exhaustive. Courteous, mutually respectful, pleasant, noncoercive interactions between employees that are appropriate in the workplace and acceptable to and welcomed by both parties are not considered to be harassment, including sexual harassment.

Pursuant to the U.S. Equal Employment Opportunity Commission (EEOC) guidelines, the victim of harassment can be anyone affected by the offensive conduct, not just the individual at whom the conduct is directed. This policy extends to the relatives, friends and associates of that individual.

WHAT TO DO IF YOU HAVE BEEN HARASSED

The Association strongly urges the reporting of all incidents of discrimination, harassment or retaliation, regardless of the offender’s identity or position. Early reporting and intervention have proven to be the most effective method of resolving actual or perceived incidents of harassment or discrimination. Individuals who are the target of harassment should not feel unheard or unassisted.

If you have experienced or witnessed harassment or discrimination of any kind, you should deal with the incident(s) as directly as possible, clearly communicating to the offender, and/or the Chief Staff Officer and/or the Chairman of the Board. Written records such as letters, notes, memos, emails, social media messages, text messages and telephone messages can strengthen documentation. It is not necessary that the harassment be directed at you to make a complaint. It is NAA’s goal to support vulnerable members of the community and to strategize to end the harassment in question.

If the Chief Staff Officer and/or Chairman of the Board is not available, contact the most senior staff person on site or you can contact either of these individuals by email or send an email to amazzei@auctioneers.org. Accommodations will be made should the person who encounters the harassment or sexual harassment wish to have a person of the same gender present when making the complaint.

If the harassment includes any type of threat of violence or actual violence, the person who encounters the harassment should immediately call local law officials.

If the individual wishes to have their complaint investigated, NAA will make every reasonable effort to conduct this investigation in a responsible and confidential manner. The investigation may include individual interviews with the parties involved and with individuals who may have witnessed the alleged conduct or who have other relevant knowledge. NAA reserves the right however to provide notice that may be used to investigate claims of harassment.

Potential outcomes of the investigation may include the requirement for training, referral to counseling and/or disciplinary action such as private censure or membership suspension or expulsion.

FRIVOLOUS COMPLAINT

The possibility of serious consequences exists for an individual accused of harassment, sexual harassment or discrimination. Therefore, complaints made in bad faith or that contain false information may also lead to private censure or membership suspension or expulsion.

Event Policies

All attendees, speakers, exhibitors, sponsors, volunteers, and guests/persons at NAA events are required to abide by event policies. By attending NAA events, you agree to follow these policies at events and at event-related social gatherings.
 

Name Badge

All event attendees, exhibitors, volunteers and visitors are always required to wear a current event name badge provided by the NAA for this specific event to gain access to and/or attend events, education classes, seminars, sessions, meetings, networking opportunities, trade show and visiting with attendees. This policy will be strictly enforced.

Code of Conduct

NAA seeks to provide an event environment in which all participants may learn, network and enjoy the company of colleagues. Some behaviors are, therefore, specifically prohibited.

  • Harassment or intimidation based on race, religion, language, gender, sexual orientation, gender identity, disability, appearance, or other group status.
  • Sexual harassment or intimidation, including unwelcome sexual attention, stalking (physical or virtual), or unsolicited physical contact.
  • Yelling at or threatening any participant, including speakers or staff (verbally or physically). NAA does not tolerate harassment in any form, including, but not limited to, talks, parties, Twitter, Facebook, and other online media. Event participants violating these rules may be sanctioned or expelled from the event without a refund, at the discretion of the event organizers.

Videotaping and Photography

By registering and attending NAA events, you consent to being videotaped or photographed and understand that these are subject for use in NAA marketing materials. This includes the recording of children under the age of 18.

Private Meeting Room Policy

The National Auction Association does not permit other groups to host similar on-site meetings. The NAA may work with trade show exhibitors, sponsors and/or attendees who have a need for a private meeting room to meet with event attendees (based on availability).

Unauthorized Recordings

Unauthorized, private recording of NAA events is not allowed. Please note: IAC and IJAC contestants may have their individual performances filmed/recorded for their own personal purposes. Recording of the entire competition, or other contestants, without permission is not allowed.