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ARTICLE · 23 MAY 2007

Taking a Stand (Or Not): New Ethics Rule Could Compromise Your Expert’s Testimony

Crowe Horwath LLP
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A new ethics standard for certified public accountants will likely create ripples in the legal pond, too. The standard, intended to preserve CPA independence, could preclude accountants from providing expert witness testimony and forensic services in certain circumstances.

United StatesAccounting and Audit

By Marilee K. Hopkins, CPA, CVA

A new ethics standard for certified public accountants will likely create ripples in the legal pond, too. The standard, intended to preserve CPA independence, could preclude accountants from providing expert witness testimony and forensic services in certain circumstances.

The American Institute of Certified Public Accountants (AICPA) has announced new independence requirements which will affect the performance of expert witness services for audit clients. The restrictions took effect Feb. 28, 2007, but news of the changes may not have reached every CPA. Litigators must understand the constraints the restrictions place on the provision of forensic services to avoid undermining their CPAs’ credibility on the witness stand.

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