Understanding the Risks of Unintentional Financial Advice in Client Relationships

Sarah Ference, CPA, an author of the JofA’s Professional Liability Spotlight column, returns to the JofA podcast to discuss recent column topics and the advice CPAs can gain from them.

In the previous episode focused on Professional Liability Spotlight content, Ference detailed the January topic of risk management mantras.

The articles discussed in this episode include:

n  February: “Retired Partners: A Liability Risk?”

n  March: “The Risk of Providing Unintentional Financial Advice”

n  April: “Should I Disclose My Use of Gen AI to Clients?”

In addition, Ference described the May column topic and several upcoming topics.

What you’ll learn from this episode:

·       The importance of considering the client’s perspective related to disclosure of generative AI use.

·       An explanation of the concept of apparent authority.

·       Why guardrails are needed for retired partners who might still maintain an office at a firm.

·       How casual conversations with clients can expose a firm to risk.

·       A theme for upcoming Professional Liability Spotlight columns.