Ethics & Compliance Flashcards
6 cards from real CBA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Ethics & Compliance flashcards as text
Why is ethical conduct essential in bankruptcy administration?
Answer: To ensure fairness and legal integrity
Ethical conduct ensures fairness, protects stakeholders, and maintains the integrity of the legal process.
What is a common ethical breach in bankruptcy proceedings?
Answer: Hiding assets from the court
Failing to disclose assets is a serious ethical and legal violation that undermines the bankruptcy process.
Which law governs professional conduct in U.S. bankruptcy cases?
Answer: Bankruptcy Code and Rules
The U.S. Bankruptcy Code and Federal Rules of Bankruptcy Procedure guide ethical and compliant behavior in bankruptcy cases.
What is the role of compliance in bankruptcy proceedings?
Answer: To meet legal obligations and reduce risk
Compliance ensures that all legal and procedural obligations are met, reducing risks of sanctions and reversals.
How can professionals avoid conflicts of interest in bankruptcy cases?
Answer: Disclose conflicts and recuse if needed
Disclosing potential conflicts and withdrawing when appropriate helps maintain trust and ethical standards.
Why is transparency critical in bankruptcy compliance?
Answer: To build trust and ensure legal clarity
Transparency ensures accurate reporting, fosters trust among parties, and prevents legal violations.