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ICAEW SE · Chapter 8 · Question 18 of 18

A firm decides it can act for two clients whose interests conflict over the same matter. Which combination of measures is most appropriate to address the conflict?

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Reveal answer & explanation

Correct answer: A) Disclosing the conflict to both clients and obtaining their consent, using separate engagement teams, and putting in place information barriers

Explanation

Where a conflict of interest can be managed, appropriate measures include disclosing the nature of the conflict and obtaining consent from the relevant parties, and using separate teams with clear policies to protect confidentiality. Keeping the conflict secret or using a single team would increase the threat. Fee levels do not address the conflict.

All 18 questions in Chapter 8The fundamental ethical principles MCQs with answers

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