Code of Ethics

CODE OF ETHICS

§501. Code of Ethics
A. Purpose. Integrity, honesty, and objectivity are fundamental principles embraced by this
Code of Ethics, which sets forth the obligations of ethical conduct for the Licensed Home Inspector
(LHI). The Louisiana State Board of Home Inspectors (LSBHI) has enacted this Code to provide high
ethical standards to safeguard the public and the profession. LHIs in Louisiana shall comply with
this Code, shall avoid association with any enterprise whose practices violate this Code, and shall
strive to uphold, maintain, and improve the integrity, reputation, and practice of the home
inspection profession.
B. Ethical Obligations

  1. The LHI shall avoid conflicts of interest or activities that compromise, or appear to
    compromise, professional independence, objectivity, or inspection integrity.
  2. The LHI shall not inspect properties for compensation in which he has or expects to have,
    a financial interest.
  3. The LHI shall not inspect properties under contingent arrangements whereby any
    compensation or future referrals are dependent upon reported or non-reported findings or on the
    sale of a property.
  4. The LHI shall not directly or indirectly compensate real estate agents, brokers, or any other
    parties having a financial interest in the closing/settlement of real estate transactions, for the
    referral of inspections or for inclusion

on a list of recommended inspectors, preferred providers, or similar arrangements.

  1. The LHI shall not receive compensation from more than one party per inspection unless agreed to
    by the client(s).
  2. The LHI shall not accept compensation, directly or indirectly, for referring or recommending
    contractors or other service providers or products to inspection clients or other parties having an
    interest in inspected properties, unless disclosed and scheduled prior to the home inspection.
  3. The LHI or any company or firm with which the home inspector is an employee, owner, or
    independent contractor, shall not solicit to repair, replace, or upgrade, or repair, replace or
    upgrade for compensation, any system or component of the home which the inspector noted in the
    inspection report as deficient, in need of repair or replacement, or unsafe for a period of
    one year following the date of the home inspection.
  4. The LHI shall act in good faith toward each client and other interested parties.
  5. The LHI shall perform services and express opinions based upon genuine conviction and only
    within his areas of education, training or experience.
  6. The LHI shall be objective in his reporting and shall not knowingly understate or overstate the
    significance of observed conditions.
  7. The LHI shall not disclose inspection results or a client’s personal information without
    approval of the client or the client’s designated representative. At his discretion, the LHI may
    immediately disclose to occupants or interested parties safety hazards observed to which they may
    be exposed.
  8. The LHI shall avoid activities that may harm the public, discredit him or reduce public
    confidence in the profession.
  9. The LHI shall not disseminate or distribute advertising, marketing, or promotional
    materials which are fraudulent, false, deceptive, or misleading with respect to the education,
    experience, or qualifications of the LHI or the company with which he is affiliated.
  10. The LHI shall report substantial and willful violations of this Code to the LSBHI.
    AUTHORITY NOTE: Promulgated in accordance with R.S. 37:1475.
    HISTORICAL NOTE: Promulgated by the Department of Economic Development, Board of Home Inspectors,
    LR 26:2749 (December 2000), amended by the Office of the Governor, Board of Home Inspectors, LR
    30:1693 (August 2004), LR 36:2863
    (December 2010), LR 37:2406 (August 2011), LR 41:924 (May
    2015), repromulgated LR 41:2339 (November 2015), amended LR
    43:315 (February 2017), LR 43:1913 (October 2017), LR 50:779
    (June 2024).