Maybe someone can explain the following.

You do an inspection on a house where the lights circuits are wired with open PVC wiring with porcelain cleats in the attic. It's not double insulated wire. It's in good condition and passes all the tests. I give it a pass, however, I must fail the installation because of 1 inch of open wire at a gu downlight connection.

I cannot blame the client for thinking that I'm an idiot.

My question is. What's the difference between the open wiring supported by porcelain cleats and the 1 inch of open wiring at the downlight ?