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STANDARDS OF PRACTICE


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Pioneer Basement Waterproofing is member of the National Association for Waterproofing and Structural Repair Contractors (NAWSRC) and is proud to uphold their Standards of Practice. For your convenience, the NAWSRC Standards of Practice, and those of Pioneer Basement Waterproofing, are provided below.

The Standards of Practice of the NAWSRC are the most comprehensive standards in the industry today. Although written for the contractor, these standards provide the consumer with the confidence and knowledge that they are hiring a reputable and credible contractor - The NAWSRC Standard of Practice is the CONSUMERS GUIDE to finding a contractor. As such, we have provided our standards in PDF download format for downloading and printing. Requires Winzip or other decompression program and Adobe Acrobat Reader to view the downloaded file. Or you may view the PDF file online (cable or dsl connection recommended).

The NAWSRC is the only recognized trade association in the waterproofing and structural repair industry. The NAWSRC Standards of Practice were used by the National Counsel of Better Business Bureaus as its criterion when it promulgated its national standards for the waterproofing industry. In several States, the Standards and resources of the NAWSRC were used to rid those states of unscrupulous contractors through its cooperation with the states' attorney generals.

You can trust a NAWSRC-Member contractor
STANDARDS OF PRACTICE FOR THE WATERPROOFING AND STRUCTURAL REPAIR INDUSTRIES NAWSRC
INTRODUCTION


The intent of these standards is to encourage and preserve truthful, accurate and ethical practices in the advertising, selling and servicing of waterproofing, water diversion, and structural repair. They are issued for the guidance of waterproofing and structural repair contractors, advertising agencies and advertising media, and are applicable to residential and commercial waterproofing and structural repair, whether above or below grade.

The word “contractor” as used in these standards shall include anyone engaged in maintaining, repairing, improving and providing remedies for residential and commercial structures, as well as a contractor’s agent, agency, or representative, whether independent or otherwise.

Practices to which these standards apply shall include but are not limited to (1) the obtaining of customers through advertising by print and broadcast media, direct mail, Internet, telephone solicitations and door-to-door canvassing, (2) the selling of a product or service through point-of sale techniques or representations, and (3) the servicing of customers after the sale. The application of the advertising provisions of these standards by media, and the voluntary adherence to all provisions by individual waterproofing and structural repair contractors, will be a significant contribution toward effective self-regulation in the public interest and will inspire public confidence in these industries.

Contractors, advertising agencies and media should also be sure that they comply with federal, state, and local laws and regulations as they relate to selling and servicing practices, including licensing requirements where applicable and adherence to building codes.

It should be noted that these standards are not intended in any way to infringe upon the individual waterproofing and structural repair contractor’s right to sell or advertise products and services at whatever prices chosen, nor in any methods of performance.

BASIC PRINCIPLES


It is not possible to cover fully by standards of this type the entire specific practices relating to the waterproofing and structural repair industries; however, all practices should be consistent with these basic principles.
  1. The primary responsibility for truthful, ethical and nondeceptive practices in the advertising, selling and servicing of waterproofing and structural repair rests with the contractor. Contractors must be prepared to substantiate any claims or offers relating to their products and services before such claims or offers are made and any such substantiation should be present upon request.


  2. Any oral or written representations which are untrue, misleading deceptive, fraudulent, falsely disparaging of competitors, or insincere offers to sell or service, shall not be used.


  3. An oral or written representation as a whole may be misleading although every statement separately considered is literally true. Misrepresentations may result not only from direct statements but by omitting or obscuring a material fact.

PART I


ADVERTISING STANDARDS

The standards in this section pertain to the means by which waterproofing and structural repair contractors obtain customers, including, but not limited to the use of advertising in print and broadcast media, direct mail advertisements, Internet, telephone solicitations, and door-to-door canvassing.

A. IDENTIFICATION, AGE AND VOLUME OF BUSINESS
  1. A waterproofing or structural repair company should identify itself in all advertising by use of a bona fide business name in dealing with customers. Failure to do so with the purpose, intent, and effect of thereby or thereafter concealing identity, which if not known to customers or prospective customers would result in their deception, is an unfair practice.
  2. All written representations (letterheads, proposals, statements, etc.) shall state the company’s name or trade style, and the address of its actual place of business.
  3. Any representation about a contractor’s years of experience shall be based upon the actual number of years the specific contractor has been engaged in the waterproofing or structural repair industries and not on the total years of experience of all employees.
  4. Any statement regarding the volume of business, size of the organization, or number of outlets shall be based on current facts.


B. COMPARATIVE PRICE AND SAVINGS CLAIMS

For the purpose of this standard, waterproofing and structural repair offerings are considered to be of two types:
  1. those which include workmanship as a factor in the system or method of waterproofing or structural repair, and
  2. those where a specific product is offered and workmanship is not the main factor.


In those instances where workmanship is a factor in a waterproofing or structural repair offer, any comparative price or savings claim must be based solely on the contractor’s former selling price. Since workmanship and other factors differ among contractors and job, and are difficult to compare objectively, no comparative price or savings claim shall be used which is based on the prices charged by others.

  1. List Prices

    “List Price,” “Manufacturer’s price,” “Suggested retail price” and similar terms have been used in the past deceptively to state or imply a savings which was not, in fact, the case. A list price may be advertised as a comparative to the advertised sales price only to the extent that it is the actual selling price currently charged by representative waterproofing and structural repair contractors in the market area where the claim is made.


  2. "Factory to you,” “Wholesale,” “Wholesale prices,” “Deal with the owner”.

    The terms indicated above and others of similar import have been the subjects of great abuse in advertising. They imply significant savings from the actual price at which identical products are currently being offered by representatives of waterproofing and structural repair contractors in the market area, or where identical products are not being offered, from comparable values in the market area. Such terms should not be used unless the implied savings can be substantiated. A statement such as “Deal with the owner and save” or similar claims may be used if the owner does, in fact, make estimates and sell the products or services and if this actually results in a savings.


  3. “Sales”

    The unqualified term “sale” may be useful in advertising only if there is a significant reduction from the contractor’s usual and customary price of waterproofing or structural repair and the sale is for a limited period of time. If the sale exceeds thirty days the contractor should be prepared to substantiate that the offering is, indeed, a valid reduction and has not become the regular price of the service being offered.

    Time limit sales should be rigidly observed. For example, waterproofing or structural repair offered in a “one-day sale,” or “pre-spring sale” should be taken off “sale” and revert to the regular price immediately following termination of the stated time. Introductory sales must be limited to a stated time period and selling price should be increased to the advertised regular price immediately following termination of the stated period.

    Price predictions—statements regarding savings based on predictions of an increase in prices of others—should not be used. However, a contractor may currently advertise a future increase in his own price on a subsequent date provided that he does in fact increase the price to the stated amount on that date and maintains it for a reasonably substantial period of time thereafter.


  4. Underselling claims

    Despite a contractor’s best efforts to ascertain competitive prices, the rapidity with which prices fluctuate and the difficulty of determining price of all contractors at all times precludes an absolute knowledge of the truth of claims such as “Our prices are guaranteed lower than elsewhere,” “Never Undersold,” “We guarantee to do the job for less,” “Lowest Prices.”

    The NAWSRC has always advocated that advertisers have proper substantiation for all claims prior to disseminations. Since underselling claims may be accurate at the time of the contractor’s investigation, but may not be accurate at the time of dissemination or advertising, such claims should not be used.


C. “FREE”

  1. The Word “free” may be used in advertising whenever the waterproofing or structural repair contractor is offering an unconditional gift. If receipt of the “free” merchandise or service is conditional on a purchase:
    • the contractor must disclose this condition clearly and conspicuously together with the “free” offer (not by placing an asterisk or symbol next to “free” and referring to the condition(s) in a footnote);
    • the normal price of the product or service to be purchased must not have been increased nor its quantity or quality reduced; and
    • the “free” offer must be temporary; otherwise, it would become a continuous combination offer, no part of which is free.


  2. A “free gift offered in conjunction with a demonstration, estimate or inspection shall be delivered by the salesperson at the time of such demonstration, estimate or inspection.


D. CREDIT

Whenever a specific credit term is advertised, it should be available to all respondents unless qualified as to respondent’s credit acceptability. All credit terms must be clearly and conspiculously disclosed in the advertisement, as required by the Federal Truth in Lending Law and applicable state laws. Advertisers should be aware of Regulation Z, issued by the Board of Governors of the Federal Reserve System, which contains comprehensive and detailed regulations for advertising of credit.

E. BAIT ADVERTISING AND SELLING

  1. A “bait” offer is an alluring but insincere offer to sell a product or service which the contractor does not intend to sell. Its purpose is to “switch” consumers from buying the advertised product or service, in order to sell something else, usually at a higher price or on a basis more advantageous to the contractor.


  1. No oral or written representation shall be made unless it is a bona fide offer to sell the offered product or service.


  2. A representation shall not create a false impression about the product or service being offered in order to lay the foundation for a late “switch” to other more expensive products or services.


  3. Subsequent full disclosure by the contractor of all other facts about a represented product or service does not excuse an earlier bait scheme.


  4. A contractor should not use nor permit the use of the following “bait” scheme practices:
    • a refusal to show or demonstrate the represented service
    • disparagement of the offered product or service, warranty availability, parts, credit term, etc.;
    • selling the offered product or service and thereafter “unselling” the customer to make a switch to other products or services;
    • refusal to take orders for the offered products or services or to perform within a reasonable period of time;
    • demonstrating or showing a defective sample of the offered product;
    • a compensation plan designed to penalize sales persons who sell the advertised waterproofing or structural repair product.


  5. The actual sales of products or services does not, by itself, disprove the existence of a bait offer since this may be an attempt to create an aura of legitimacy. A key factor in determining the existence of bait is the number of times a product or service is offered compared to the number of sales or installations of the product or services.


F. WARRANTIES (OR GUARANTEES)

  1. The unqualified terms “warranty” or “guarantee” shall not be used in advertising.
  2. When the term “warranty” or “guarantee” is used in oral or written representations, the following disclosures shall be make clearly and conspicuously:
    1. The nature and extent of the warranty, including what materials, services, workmanship or characteristics are warranted or excluded, its duration and what must be done by the customer before the warrantor will fulfill the obligation;
    2. The manner in which the advertiser will perform under the warranty such as repair, replacement or refund. If either the advertiser or the customer has an option as to what may satisfy the warranty, this shall be clearly disclosed; and
    3. The warrantor’s identity, to avoid confusion as whether the supplier, manufacturer, or the advertiser is the warrantor.


  3. Warranties providing for adjustments on a pro rata basis shall clearly disclose how such adjustments will be prorated (e.g., the time since a material or waterproofing or structural repair job has been installed and how the warrantor will perform). If adjustments are based on a price other than that paid by the purchaser, clear disclosure must be made of the amount.


  4. If “lifetime” or similar warranties relate to any life other than that of the purchaser or origional user, the “life” referred to must be clearly disclosed.


  5. The manner in which a warranty is used frequently constitutes representations of material fact, e.g., “warranted to reduce heating bills 30% or we pay the difference.” In such cases, the warrantor not only undertakes to perform (“pay the difference”) under the warranty’s term, but also assumes responsibility for the truth of the entire claim that is made, ie., that the heating bills will be reduced by 30%.


  6. Any warranty requiring a periodic fee to be paid in order to maintain the warranty must be declared a “Service Contract” or “Service Agreement” in the contract, and the periodic fee and payment date must be expressly stated therein.


  7. A warranty having any limitation in its terms must be declared as a “Limited Warranty” or “Limited Guarantee.” Any limitation in said warranty must be specifically stated in the contract.


  8. A warranty, which states it, is a “Lifetime Warranty” or “Lifetime Guarantee” must possess no limitation as to time or persons covered, and must require no periodic fee to be paid in order to maintain the warranty.


  9. Any “product” sold with the waterproofing or structural repair service, which is guaranteed by the manufacturer, and not by the contractor, must be expressed in the contract.


G. LAYOUT

  1. The composition and layout of advertisements shall clearly denote and distinctively separate the various products and services being offered so as not to confuse and mislead the reader.


  2. Prices, illustrations and descriptions shall not be so placed in an advertisement as to give the impression that the price or terms of featured items apply to other items or services in the ad when such is not the fact.


  3. An advertisement shall not feature low prices or favorable terms in any manner which implies they relate to illustrated products or services which cost more or have less favorable terms.


  4. Headlines and captions shall be free from exaggeration or deception and shall conform with any description appearing in the text. For example, a heading or caption can not be used which refers to a different make, grade, quality or method of service than that which is illustrated, listed or described.


H. ILLUSTRATIONS AND DESCRIPTIONS

  1. Illustrations and descriptions shall accurately represent the products and services being offered as to size, quality, quantity, design, etc., and shall not depict or imply they are larger or different than what is actually the fact.


  2. The term “not exactly as illustrated” or others of similar impact shall not be used.


  3. When an illustration pertains to only one of a number of items offered in an advertisement, a clear and conspicuous disclosure shall be made of that fact.


  4. When an illustration depicts any structural items (e.g., tile, concrete, block, channeling, etc.) which are not included in a quoted price, the advertisement shall indicate clearly and conspicuously which of the items are not included.


  5. The term “complete” or others of similar import shall not be used to describe any waterproofing or structural repair offering unless the specific areas and problems of waterproofing or structural repair are disclosed so that there can be no difference in interpretations as to what constitutes a complete waterproofing or structural repair job.


  6. Any description in the advertising or selling of materials to be furnished in a waterproofing or structural repair job shall be accurate, and there shall be no statement or implication that the materials will be of particular types when such is not in fact the case. The quality sold must be the quality performed.


I. SIZE AND SPECIFICATIONS

  1. General requirements—when a price is quoted the ad shall:
    • State the size and specifications of the product or area featured, and in measurements and terms customarily used in the waterproofing or structural repair industries, provided that such statements are clearly and readily understood by the public.
    • Not contain ambiguous statements such as “large area,” “section,” “front or side,” “floor,” etc., unless accompanied by actual measurements.
    • Disclose any conditions and restrictions where the featured size, price specifications and terms are available only on the basis of certain structural, soil or site conditions, local building codes, etc.
    • State clearly and conspicuously any limitations or conditions on what will be supplied at the feature price in immediate conjunction with the featured statement. The absence of any such limitations and conditions shall mean that the finished offering will be performed at the advertised price.


J. INSULATION

Contractors offering insulation materials and installation should consult the current Better Business Bureau “Standards for the Advertising and Selling of Home Insulation Materials.” They detail the disclosures and explanatory and qualifying statements relating to R-values, energy savings claims, tax credits, etc., that must be made, and the requirements for fact sheets that must be made available to customers.

K. ACCESSORIES AND EXTRA CHARGES

If the represented price of a waterproofing or structural repair job does not include all of the accessories which appear in the offer or are necessary for proper installation and use, such facts shall be clearly and conspicuously disclosed. Extra charges for service, travel, installation, etc., shall not be used as a device to disguise the actual selling price of waterproofing or structural repair.

L. ASTERISKS

An asterisk may be used to impart additional information about a word or term which is not in itself inherently deceptive. The asterisk or other reference symbols should not be used as a means of contradicting or substantially changing the meaning of any advertising statement.

M. COMPARISONS & DISPARAGEMENT

All statements and representations, oral and written, shall be positive and based upon the performance and capabilities of the contractor’s own products and services. Truthful comparisons using factual information may help consumers make informed buying decisions, provided:

  1. all representations are consistent with the general rules and prohibitions against false and deceptive advertising;
  2. all comparisons of features or qualities with competitive products or services that imply overall superiority are not based on a selected list of criteria in which the advertiser excels while ignoring those in which the competitors excel; and,
  3. the contractor can substantiate all claims made about both its own products and services and those to which they are compared.
  4. Advertising which deceptively or falsely disparages a competitor or competing products, services or methods or operations shall not be used.


N. SUPERLATIVE CLAIMS & PUFFERY

Superlative statements, like other representations, are objective (factual) or subjective (puffery).
  • Objective claims relate to tangible qualities and performance values of a product or service which can be measured against accepted standards or tests. As statements of fact, such claims can be proved or disproved.
  • Subjective claims are expressions of opinion or personal evaluation of tangible qualities of a product or service (e.g.,taste, beauty, aroma, style). In general, they can be neither proved nor disproved.


Concern for public confidence and believability in advertising has led many advertisers and consumers to condemn the use of any superlative. While factual superlative claims may be used only if substantiated by the advertiser, it is recommended that self-discipline be employed in their use. Subjective superlatives which tend to mislead should be avoided.

O. TESTIMONIALS AND ENDORSEMENTS

In general, a representation which uses testimonials or endorsements is likely to mislead or confuse if:
  • it is not genuine and does not actually represent the current opinion of the endorser;
  • it is not quoted in its entirety, thereby altering its overall meaning and impact;
  • it contains representations or statements, which would be misleading if otherwise used in advertising;
  • while literally true, it creates deceptive implications;
  • the endorser is not competent or sufficiently qualified to express an opinion concerning the quality of the product or service being advertised or the results likely to be achieved by its use;
  • it is not clearly stated that the endorser, associated with some well-known and highly regarded institution, is speaking only in a personal capacity, and not on behalf of such an institution, if such is the fact;
  • broad claims are made as to endorsements or approval by indefinitely large or vague groups such as “the Homeowners of America”;
  • an endorser has a pecuniary interest in the company whose product or service is endorsed and this is not made known to the public.


Advertisers should consult Federal Trade Commission Guides on Testimonials and Endorsements for detailed guidance.

P. CONTESTS, PRIZES AND OTHER PROMOTIONS

  1. If contests are used, the contractor shall publish clear, complete and concise rules and provide competent judges to determine the winners.
  2. No contest, drawing or other game of chance that involves the three elements of prize, chance and consideration shall be conducted since it constitutes a lottery and is in violation of federal statutes.
  3. The Federal Trade Commission has rendered various decisions on contests and games of chance relating to disclosure of the number of prizes to be awarded and the odds of winning each prize, and issued a trade regulation rule for games of chance in the food and gasoline industries. Advertisers should make certain any contest conforms to FTC requirements.


Q. CLAIMED RESULTS

Claims such as energy savings performance, protection, efficiency, results, etc., which will be obtained or realized from a particular waterproofing or structural repair product or service shall be based on recent, scientific, engineering and/or other provable facts.

R. TRADE STYLE

A company name or trade style shall not be misleading as to the nature or scope of its business activities (e.g., “ABC Plumbing and Heating, Inc.” when the company does not do any plumbing).

S. “INSURED” AND “BONDED” AND “LICENSED”

A contractor shall not use the terms “bonded,” “insured” or “licensed” in any representations unless there is a clear and conspicuous disclosure of the type of “bond,” “license” or “insurance,” who is covered by the bond or insurance, and the protection, if any, provided to the consumer. If licensing is required and the term is used in advertising and selling, the entity which does the licensing shall be fully disclosed (e.g., “Licensed in the city of Parma,” “Licensed by Wyandotte County”). (Most states require a company to include their State Registration number in all advertisements and contracts.)

T. “FHA APPROVAL,” “GOVERNMENT AFFILIATED,” “VA APPROVED”, “NAWSRC CERTIFIED”

  1. No advertising claim or sales representation shall be made which states or implies that a waterproofing or structural repair contractor or the products or services offered are in any way approved, certified, recommended or accepted by a government agency unless in fact the agency has issued to the seller an approval, certification, etc.
  2. No advertising claim or sales representation shall be made which states or implies that a contractor’s product or services comply with a government agency standard or specification unless such is the fact.
  3. No salespersons shall imply that their company is government affiliated.
  4. Only NAWSRC members are allowed to use the NAWSRC logo. However the NAWSRC does not “certified” waterproofing or structural repair companies, but rather individuals. A NAWSRC member company who has a “NAWSRC Certified Contractor on their staff may state in their advertising that they have a “NAWSRC Certified Contractor On Staff”.


U. TELEPHONE SOLICITATIONS

Any telephone solicitation by a contractor shall, at the outset of each call, identify the name of the caller, the company, its address and the reasons for the call.

PART II


SELLING WATERPROOFING OR STRUCTURAL REPAIR

This section relates to the selling of a waterproofing or structural repair products or services through point-of-sale techniques and representations.

A. GENERAL

  1. The requirements of truth, accuracy and full disclosure which govern the advertising and other customer solicitation activities of a waterproofing or structural repair contractor, shall also apply to point-of-sale contracts.
  2. No oral statements shall be made which would violate any provisions of the standards set forth in Part I.
  3. These basic principles shall apply to the estimates, oral representations, and written contracts, which normally accompany the final sale of a waterproofing or structural repair job.


B. COMPANY IDENTIFICATION

  1. The name and address of any contractor making door-to-door contacts shall be clearly disclosed to the prospect at the outset of the contact.
  2. The contractor shall not misrepresent the true nature of his business by claiming to be a representative of any organization, agency or institution when such is not true (e.g., “I represent the county building inspector,” “I am an independent planning consultant,” “I am an advertising representative for the XYZ Waterproofing Materials Company”).


C. PROHIBITED SALES PRACTICES

  1. Model Home Scheme
    No selling practice shall be used which states or implies that the prospect will receive a commission, special price or any other form of commission, special price or any other form of compensation for allowing the structure to be used as a “model waterproofing or structural repair job,” “advertising showplace,” etc., or for “before and after” photography.
  2. “Par” Selling
    “Par” is the price set by a contractor for a waterproofing or structural repair job in order to be assured of a profit on that job. “Par Selling” is considered to exist whenever someone other than the contractor obtains earnings from a waterproofing or structural repair job by selling the job to a customer at a price greater than “Par.” No such practice shall be engaged in. Examples:
    • Contractor establishes “par” at a specific price for a particular amount of square feet and then advises the independent contractor that his profit will amount to whatever he can sell the job for over “par.”
    • Contractor established “par” and agrees to split any amount the employed sales person can obtain over such “par” according to an agreed-upon percentage.
    • Contractor establishes “par” and sets sliding scale for subcontracts or employees to share in any sale over “par.”


  3. Referral selling
    Referral selling shall not be used wherein a prospect is induced to sign a contract under the representations that a part or all of the cost of a waterproofing or structural repair job can be earned through commissions which the seller will pay for each and every prospective customer or buyer referred to the company by the purchases.
  4. Sales Discount
    No contractor shall misrepresent the basis for offering sales discounts.
  5. Sales Tactics
    No contractor shall use any representations that may have the effect of soliciting business through false intimidations (e.g., “Your walls show signs of serious decay and will cause you great problems when the rains come,” or “The condition of your floor has created a very serious threat to your safety”).
  6. “Survey” Approach
    No “door opener” or other sales approach shall be used under the guise of conducting a poll, survey, opinion research, market research, etc.


D. CONTRACTS
  1. Misrepresentation
    When an agreement is to be signed which binds the purchaser to a contractual obligation, either immediately or upon subsequent approval or execution by a company principal, no representation shall be made to the prospective buyer that a document is merely an estimate or form which has no binding effect.
  2. Itemization, Customer’s Copy
    1. The contract or agreement shall itemize the product/services purchased, and describe the types of materials, and products used.
    2. The contract or agreement shall be completed in full and in all respects before securing the customer’s signature. The customer’s signature shall not be sought nor permitted on the contract until all credit terms and disclosures under Regulation Z and state laws are completed.
    3. The customer shall be given, at the time of signing, an exact copy of the contract or other agreement signed by both the customer and sales representative.
  3. “Cooling Off” Notice
    1. Regulations issued by the Federal Trade Commission (June 7, 1974), the Truth in Lending Act and Regulation Z (July 1, 1969), and various state and local laws require that a notice of the right to cancel a transaction shall be given to a customer at the time of sale under certain conditions (e.g., door-to-door sales involving $25 or more, credit transactions involving a security interest in any real property), within certain time limits (e.g., three business days), and in certain form and language. Compliance with such regulations and laws is a responsibility of each contractor.
    2. The oral representations to a customer at the point-of-sale shall include an explanation of how and to whom notice of cancellation is to be directed.


E. WAVER OF LIEN

Following verifications of a customer’s payment on a waterproofing or structural repair job, a contractor shall provide the customer with a lien waiver in such form and frequency as state law may require to protect the customer from having a lien placed on the property for any labor or material covered by the customer’s payment.

DEFAMATION OF COMPETITORS OR DISPARAGEMENT OF THEIR PRODUCTS


The defamation of competitors by falsely imputing to them dishonorable conduct, inability to perform contracts, questionable credit standing, or by other false representations, or the false disparagement of competitors’ products in any respect, or of their business methods, selling prices, values, credit terms, policies, or services, is an unfair trade practice.

It shall also be an unfair trade practice and breach of these standards for a member to engage in “pirating activities” or to engage in industrial espionage.

INDUCING BREACH OF CONTRACT

It is an unfair trade practice to induce or attempt to induce the breach of existing lawful contracts between competitors and their customers, to their suppliers, by a false or deceptive means whatsoever, or to interfere with or obstruct the performance of any such contractual duties or services by any such means, with the purpose and effect of unduly hampering, injuring, or prejudicing competitors in their business.

PART III


SERVING THE CUSTOMER

The standards in this section relate to all servicing activities by the waterproofing or structural repair contractor with respect to the customer after the sale is completed. This section does not relate to standards of workmanship, which are difficult to define in these highly skilled industries.

A. SUBSTITUTION OF PRODUCTS

An industry product which is not identical to samples submitted, or to specifications upon which the sale is consummated, or to representations made prior to securing an order, shall not be shipped, delivered, installed or service performed without first obtaining specific written approval of the purchaser to such substitution. Any difference in the quality or value of the substitution shall be disclosed prior to obtaining such approval.

B. DELAY IN DESIGNATED STARTING TIME

No contractor shall designate a starting date for the undertaking of a waterproofing or structural repair job unless such date can be ascertained with reasonable certainty. To avoid customer concern and irritation, contractors shall designate general time periods when their work will be commenced and the appropriate length of time required completing the waterproofing or structural repair job.

If delay is necessary or anticipated in starting a job, the contractor shall so inform the customer and explain the reason(s).

C. PROPER CARE OF CUSTOMER’S PROPERTY

Any anticipated damage or liability involving a waterproofing or structural repair job shall be explained to the customer before a job is started. To the extent possible, contractors shall use extra care to minimize and avoid damage to a home and its surroundings, and make every effort to ensure a complete cleanup of work areas when the job is completed. Some of the greatest sources of customer complaints are unanticipated damage to ceilings, walls, floors, shrubbery and flowers, and the residue left behind when a waterproofing or structural repair job is done.

D. COMPLETION CERTIFICATE

No purchaser shall be asked or induced to sign a contractor’s completion certificate or any other written instrument signifying that all work has been completed unless such work has in fact been completed to the customer’s satisfaction. No oral representations shall be made indicating that the customer’s signature to any such document is meaningless.

E. COMPLAINT PREVENTION

Certain preventative actions have become standard operating procedures for most responsible waterproofing or structural repair contractors, because they realize that such actions can prevent many complaints and much ill will following the completion of a job. Among them are:
  1. “Walk Through”
    Prior to having a customer sign a completion certificate for a waterproofing or structural repair job, it is advisable for the contractor and customer to “walk through” or inspect the job. During this inspection, the contractor should point out what has been done, what maintenance or other actions should be done by the customer, how the job should be completed if it is unfinished, such as painting or coating or any other details that are relevant. The customer may raise question during this inspection that can be answered on the spot, thus avoiding the need for expensive callbacks.
  2. Follow-up Calls
    A follow-up call to see if everything is all right should be made to the customer within an appropriate time following the job completion, such as after a hard rain. Many contractors have found that a subsequent follow-up call several months later is a good customer relations technique and one which can often lead to additional work for the same customer, or friends and neighbors.
  3. Care and Maintenance Check List
    For many waterproofing or structural repair jobs, it is advisable for the contractor to provide a care and maintenance checklist for the customer when the job is completed. Some have found it helpful to provide reprints of articles appearing in home magazines, newspapers, etc. which explain the kinds of responsibilities that should be assumed by the homeowner for care and maintenance, and even for suggestions for finishing an incomplete job.
  4. Manufacturer’s Warranties/Literature
    Following the installation of some equipment which may be necessary in a waterproofing or structural repair job, (e.g., sump pumps, piers, etc.) the contractor should leave with the customer any manufacturer’s warranties or guarantees, instructions on how to obtain service or repair, and literature from the manufacturer describing care, maintenance, and other information about the items.
  5. Designated Complaint Handler
    The contractor should provide the customer with the name, address and telephone number of the person designated to receive any complaints or problems in the event they should occur. If the contractor has established certain complaint procedures, these should be printed and left with the customer as well.
  6. Complaint Handling
    Contractors should promptly acknowledge and act on customer complaints. Records on the investigation and the determination of the causes for each customer complaint should be maintained. Where a pattern of justifiable customer dissatisfaction develops, immediate steps should be taken to eliminate the cause and thereby prevent their recurrence.
  7. Third Party Dispute Settlement Mechanisms
    For customer complaints that appear unreasonable to the contractor or the complaint situations in which communication has broken down between the contractor and customer, the following procedures have been used:
    1. Informal Mediation
      Some contractors, when confronted with complaints that cannot be resolved by their own efforts, suggest knowledgeable third parties to the customer, together with a promise to do whatever such third parties suggest. This may include another contractor’s opinion, an insurance adjuster familiar with industry standards, or anyone else with the requisite knowledge to make an independent evaluation.
    2. Mediation by Industry Ethics Committee
      Some trade organizations and associations have established ethics or standards committees to make independent evaluations and recommendations regarding customer complaints brought to their attention. As with the informal mediation technique this can successfully resolve many more difficult complaints. The NAWC NAWSRC maintains an active grievance committee to provide prompt response to consumer and/or contractor complaints in the event there is a breach of these ethics and standards.
    3. Better Business Bureaus
      BBBs receive complaints from dissatisfied customers and from contractors who are unable to resolve such complaints. If the customer and the contractor have made bona fide but unsuccessful efforts to resolve these complaints, the local BBB will endeavor to mediate a solution. If a complaint remains unresolved at this stage, the Bureaus in many cities offer a program of arbitration to the contractors and their customers. This is a voluntary program in which neither party agrees to arbitrate until an unresolvable dispute actually arises, but both parties are bound by the decision or award of the arbitrator(s) after they have agreed to the process. Many contractors appreciate the provision of automatic inspection of basement waterproofing or structural repair jobs, if necessary and requested by the parties, prior to a hearing. In a number of cities, basement waterproofing and structural repair contractors have “precommitted” to arbitration by the BBB in any complaint situations where the Bureau has been unable to obtain a resolution between customer and contractor.


PART IV

ENFORCEMENT OF CANON OF ETHICS AND STANDARDS OF PRACTICE

The National Association of Waterproofing and Structural Repair Contractors has provided technical assistance in the development of these standards and does engage in activities pertaining to the administration or enforcement of them.

A. INVESTGATION BY GRIEVANCE COMMITTEE

When someone reports a violation of this Canon of Ethics and Standards of Practice the Grievance Committee will investigate to see if the complaint is valid.

B. DISCIPLINARY ACTIONS

  1. Private Reprimand
    The Grievance Committee may send a letter of warning and private reprimand to the offender.
  2. Public Reprimand
    The NAWSRC may publicly reprimand in its trade publication “The Foundation News”, a member who flagrantly violates the Canon of Ethics and Standards of Practice. The NAWSRC may decide to contact the local Better Business Bureau or State Attorney General’s Office to alert them of the offense (s).
  3. Termination of NAWSRC Membership
    The NAWSRC Grievance Committee may recommend to the Board of Directors of the NAWSRC, that a particular membership be terminated. The Board of Directors may vote to remove a member if that member continues to break these standards.
  4. Other
    The NAWSRC is not limited to the above disciplinary actions and may decide to use other actions also.


C. BINDING ARBITRATION

As a member of the National Association of Waterproofing and Structural Repair Contractors you agree that any disputes arising from the enforcement of the Canon of Ethics and Standards of Practice will be handled by a binding arbitration under the Cleveland Better Business Bureau Rules of Arbitration.

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