Example Disengagement letters

In a recent posting on the CPAFMA website there was a request for a specific template for client disengagement letter. You may recall we blogged about the topic of client disengagement in 2018 (Go here). The following are two suggested templates for disengagement letters: a relative simple version aimed at individual clients from the AICPA […]

Post Tagged with accountants professional liability, disengagement, disengagement letter, disengaging clients, engagement letters, Limitation of Liability, risk management

Posted by jorgcpa
Posted in Accountants' professional liability insurance, Accountants' risk management, Disengagement, Disengagement letter, letter template, risk management, Uncategorized
Jan, 13, 2020
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Minimizing the risk of malpractice claims from lateral hires

By Rickard Jorgensen, FCII, ARM, ACIArb Many accounting firms have aggressive plans to build their practices and expand the range of services available to clients. Growth strategy is often comprises of several elements: Organic growth is the simplest and arises from marketing, business and employee development and cross selling services to clients. Mergers and acquisition […]

Post Tagged with accountants professional liability, CPA firm mangement, due diligence, employee screening, errors and omissions, lateral hire exposure, lawsuit, Limitation of Liability, new hires, professional liability claims, risk management

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, Accountants' risk management, due diligence, Hiring practices, indemnification clause, Lateral hires, new partners, problem clients, risk management, Tails, Uncategorized
Aug, 12, 2019
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Using Indemnification Clauses to protect your firm

by Rickard Jorgensen, FCII, ARM, ACIArb All CPAs know that a signed engagement letter is a crucial tool in the defense of a professional negligence lawsuit. The engagement letter memorializes the terms of the engagement, details what services you are performing and more importantly, the services you are NOT offering (i.e. you will not detect […]

Post Tagged with accountants professional liability, claims, engagement letters, errors and omissions, Fee disputes, indemnification clause, Limitation of Liability, professional liability claims, risk management, settlement negotiation

Posted by Rickard Jorgensen
Posted in Accountants' risk management, being sued, client communications, Client relations, due diligence, engagement letters, engagement letters, file documentation, indemnification clause, insurance, Mediation, risk management, settlement negotiation, Uncategorized
Jan, 28, 2019
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Control of client funds

by Rickard Jorgensen, FCII, ARM, ACIArb If your CPA firm has control of client funds and can write checks on clients’ bank or investment accounts you may have an exposure to CPAs or firm staff abusing the signatory authority by stealing or misusing the client funds in the firm’s custody and control. This could apply to bill […]

Post Tagged with accountants professional liability, Client funds, comprehensive coverage, CPA claims, crime coverage, employee theft, engagement letters, fraud, Limitation of Liability, risk management

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, being sued, Client relations, Coverage, coverage limitations, Crime coverage, criminal behaviour, policy coverage, policy wording, risk management, security
Jan, 03, 2019
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Early Notice to insurers and claims mitigation has many benefits

by Rickard Jorgensen, FCII, ARM, ACIArb. From a purely risk management perspective, bringing your insurer into the claims process is extremely prudent and can save you a lot of money. The following outlines reasons why you should contact your malpractice insurer or insurance agent: Reporting a potential claim enables your malpractice insurer to work on […]

Post Tagged with accountants professional liability, claims, CPA claims, lawsuit, Limitation of Liability, Mediation, professional liability claims

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, being sued, Claims, claims notification, due diligence, insurance, policy coverage, professional liability claims, risk management, Uncategorized
Oct, 03, 2018
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Mergers and Acquisitions – due diligence and the risk management process

There has been a spate of firm consolidations in the past few years and the pace is unlikely to slow down. Retirements, business expansion, consolidation of practice areas or acquisition of a new specialty drive the reasons to merge firms together. Due diligence is essential in the evaluation of the firm. Identifying issues before a […]

Post Tagged with accountants professional liability, errors and omissions, Limitation of Liability, mergers, prior acts, professional liability claims, risk management

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, due diligence, mergers, policy coverage, prior acts coverage, risk management
Jun, 06, 2018
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Example IRS Circular 230 Email Disclaimer

A client recently requested an appropriate disclaimer for email communications. Ralph Picardi, risk management consultant to CPAGold™, suggested the following clause. This is a repeat of our earlier posting here but worth restating. Example IRS Circular 230 Email Disclaimer (Following 2014 Revisions to Treasury Regulations) This example email disclaimer is intended solely for general educational […]

Post Tagged with accountants professional liability, Circular 230, email, errors and omissions, Limitation of Liability, professional liability claims, risk management, tax services

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, email risk management, professional liability claims, Ralph G. Picardi, risk management, Tax Services, Uncategorized
Jan, 04, 2018
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An overview of the client screening process

By Rickard Jorgensen, FCII, ACIArb, ARM Extracted from Evaluating Clients – Engagement risk screening for CPA firms. There are solid reasons for screening new clients. Many involve not getting paid, exposure to lawsuits or even the stress related to difficult individuals. Effective client screening can avoid these problems. Implementing a formal screening process is the […]

Post Tagged with accountants professional liabilit, accountants professional liability, client screening, CPA claims, engagement letters, Limitation of Liability, professional liability, risk management

Posted by Rickard Jorgensen
Posted in Accountants' risk management, Client relations, Client screening, due diligence, engagement letters, engagement letters, lawsuit, professional liability claims, risk management, Uncategorized
Aug, 08, 2017
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Fee Collection – a malpractice risk

Counter suits arising from fee disputes are one of the most common sources of malpractice claims against CPAs. In fact, such suits are a great risk for many professionals. Any steps taken to avoid a collection becoming a malpractice claim are essential. One of the key areas of attention should be a documented Collection Procedure. […]

Post Tagged with accountants professional liabilit, accountants professional liability, CPA claims, engagement letters, Fee disputes, Limitation of Liability, professional liability claims, risk management

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, Accountants' risk management, professional liability claims, Uncategorized
Mar, 09, 2017
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Examples of Limitation of Liability Clauses

By Seth L. Laver, (with additional remarks by Rickard Jorgensen). Following the recent article (here) about limitation of liability clauses, I asked Seth L. Laver if he could suggest a limitation of liability wording for engagement letters. This was the response: Before we get to the proposed language, a disclaimer: the enforcement of these clauses vary […]

Post Tagged with accountants professional liabilit, engagement letters, errors and omissions, Limitation of Liability, professional liability, risk management, Seth L. Laver

Posted by Rickard Jorgensen
Posted in Accountants' professional liability insurance, Accountants' risk management, Seth l. Laver
Feb, 17, 2016
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Tag Archives: Limitation of Liability