BU547 Lecture Notes - Lecture 17: Professional Liability Insurance
Document Summary
However, this rule does not apply to information demanded by a court. As well, this rule does not apply when the member"s professional association will be conducting a practice review or when there is a disciplinary process. Consequently, an auditor must be very careful when placing information in a file and should not release that information to anyone (except a court) without the client"s permission. This principle prohibits public criticism of professional colleagues. Accountants should never do anything that diminishes the reputation of their profession. Integrity refers to the accountant"s honesty and fairness, which must be above question. Failure to exercise due care results in negligence, which may lead to legal liability. Professional competence is usually maintained by participating in continuing education programs and practice inspections. Professional accountants cannot associate themselves with false or misleading information or fail to reveal material omissions. Gaap and gaas are the means by which accountants determine their professional actions.
