Hone

Lessons · Accounting · who the expert's duty runs to

Who the duty runs to

An expert's obligation runs to the proceeding, not to whoever is paying. The opinion is the same whichever side instructed it, and where the evidence does not support the client's position, saying so is the job rather than a failure of it.

Hone is a place to practise a career, one idea a day. This is one of its lessons, written out in full and free to read without an account.

In beta. This lesson was written for Hone and has not yet been checked by a qualified accountant. Practice material, not professional advice. What that means.

What it is for

It is the sentence most likely to be inconvenient and most important to have understood before it is. An expert who shades an opinion towards the instructing side is worth nothing to them, because the first thing the other side does is look for exactly that, and finding it destroys the evidence and the expert together.

How to think about it

Write the opinion you would write if the other side had instructed you. If those two documents differ, the difference is the problem, and it is better found by you than by somebody cross-examining.

Worked example

Instructed by one side
Who pays does not change the answer.
The evidence supports part of their case and not the rest
Both parts are reported.
An opinion shaded towards the payer
Worth nothing, because it is the first thing looked for.
The test: would this be the same from the other side
A useful discipline before filing anything.

Your turn

Name who an expert's duty runs to.

The duty runs to the , not to whoever is paying

The trap

Treating an unhelpful finding as something to soften. Softened findings are found, and the discovery converts an honest report with one inconvenient paragraph into an expert whose whole opinion is worthless.

Next in Accounting

Every Accounting lesson on one page

Practise who the expert's duty runs to on HoneA question on it now, a real problem where there is one, and it is remembered for review. Free, no email needed.