3 Ways CPAs Can Avoid Disputes

Document, document, document.

Keeping good documentation is the single best way to manage your risk. If you’re ever the subject of a lawsuit, your documentation can be the difference between escaping unscathed and being held responsible for damages. When a lawsuit goes to trial, the plaintiffs have the right to look through all relevant documents in a process called discovery. If you, as a defendant, have extensive documentation that makes it hard for the plaintiff to prove liability, they may be more inclined to settle the case early.

What do I do if my client won't pay

CPAs work hard for their clients, but clients don’t always show their accountants the same regard. Sometimes a client won’t pay their accountant. CAMICO has years of experience helping its CPA policyholders recover fees. This post will explain some of the ways you can try to get your money.

Disengagement

The best way to avoid having a collection problem is to communicate your billing and collection policies in your engagement letter, including stop-work and/or disengagement provisions that can be enforced if a client doesn’t pay you in accordance with the engagement letter.

What to do if my client gets divorced

Divorce can be a highly charged situation for CPAs, especially when one accountant represents both parties in a divorce. CAMICO has more than 30 years’ experience handling such situations. These are some of our best practices for CPAs with divorcing clients.

Representing both sides in a divorce is a potential conflict of interest

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