E&O potential claim

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#21
dsocpa  
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822
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5-May-2014 11:15am
Location:
Maryland
You are absolutely correct Joan TB. What I was trying to say, and may not have gotten across, is that fact could help with the E&O carrier, should the matter escalate, but more important not to beat yourself up. Although it is a given the client is supposed to review the return before signing, we all know that doesn't always happen. It sounds as though actionbsns relationship with the client was a good one and to be fair I would give him a chance to resolve together. Sometimes clients surprise us - pleasantly.
 

#22
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2887
Joined:
21-May-2018 7:50am
Location:
Northern MI and Coastal SC
As my lawyer always likes to say, include it in a contract if for no other reason than to further muddy up the waters enough to make a client not pursue a claim, or to drop it once their own lawyer dives into the signed contract's language. Between my E&O carrier's engagement letter, IRS due diligence and required information forms, and additional agreements I have decided to include, my engagement packet for individuals is 33 pages. I do not feel the least bit bad about it or find it unreasonable--it is high risk and there are a lot of terms associated with it. Just as lack of understanding of the law is not an excuse for violating it, neither is not reading a contract's language unless it was clearly written to be confusing.

When I send the returns to my clients, I tell them they need to review and to let me know if they have any questions. Based on lack of questions, overall, I am certain almost none of them even glance at it, other than to know what they owe or will be refunded. SMH
 

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