Management and Organizational Studies 2275A/B Chapter Notes - Chapter 22: Fiduciary, Misrepresentation, Disclose

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2275A/B
• Professor: Frederick King

Document Summary

In principle, the legal obligations of employed professionals are the same as those who work in private practices outside the firm. Ethical conflicts or dilemmas tend to arise when the business is under stress. If the cost of external professional services for a business becomes significant, the business will likely consider the employment option. In-house professionals should provide enhanced value through their knowledge of the organization, their skill in managing external services, and their ability to contribute to the development and implementation of risk management programs. Responsibilities of professionals to clients and others who rely on their work. Professionals owe tort duties in particular those arising from negligence: also owe fiduciary duties. Professional responsibilities in any given engagement are defined, in part by contract. Contractual terms are often presented by the professional, and only a well-prepared client might think to negotiate additional or alternative provisions.