Client Relations Flashcards

A forensic accountant wishes to withdraw from an engagement close to a trial date. What should they consider most carefully?

Answer: Whether withdrawal would unfairly prejudice the client, and the engagement letter's terms

Withdrawal should follow contract terms and avoid unfair harm to the client's case, with counsel properly notified.

In a matrimonial dispute, both spouses ask the same forensic accountant to value the business jointly. What is required for this to be appropriate?

Answer: Informed consent from both parties, clearly defined neutral role, and a written agreement

A joint or neutral engagement needs everyone's informed consent and a clearly documented role.

A client's attorney asks the forensic accountant to leave a relevant adverse document out of the files reviewed. What is the appropriate action?

Answer: Decline to ignore relevant evidence and consider it in the analysis

Ignoring known relevant evidence undermines the opinion's basis and the expert's credibility.

Which statement about advocacy by a forensic accountant is correct?

Answer: The expert may advocate for their own objective opinion, not the client's position

SSFS No. 1 lets the practitioner defend their own opinion but not act as an advocate for the client's case.

A former client's confidential data would help a new client in an unrelated matter. What should the forensic accountant do?

Answer: Not use or disclose it without the former client's consent or a legal requirement

Confidentiality duties continue after an engagement ends.

What is the main benefit of regular status updates to retaining counsel during a long forensic engagement?

Answer: Keeps strategy, budget, and deadlines aligned and avoids surprises

Regular communication helps counsel plan and keeps the work on scope and on budget.

A forensic accountant gets a subpoena for client documents from a third party. What should they generally do first?

Answer: Promptly notify the client or retaining counsel so privilege objections can be raised

Telling counsel promptly lets them assert privilege or move to quash before anything is produced.