How to write a legal opinion letter to client about resignation

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How to write a legal opinion letter to client about resignation

Professional LiabilityPractice ManagementClient Engagement Acceptance and Continuance Content2 When it becomes necessary to terminate a client relationship, it is important to memorialize this action in a confirming letter to the client. Even if you decide to inform the client of your resignation through a discussion, a follow-up letter provides written evidence of the termination date.

The letter also should include instructions to the client pertaining to requisite follow-up actions regarding tax, accounting, and other matters about which your firm previously advised.

The letter should be concise and factual.

It should document when services ended, any outstanding issues regarding work in process, fees owed to the CPA firm, client records, and items requiring follow-up or completion by the client.

In most situations the termination should become effective as of the date of your letter.

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However, if the client is facing an imminent tax or regulatory deadline, and a delay in providing information to taxing authorities or regulators may result in the imposition of penalties, interest, or sanctions, consult with your attorney and your professional liability insurer before proceeding.

Introductory paragraphs The first paragraph of the letter should clearly indicate that the client relationship is being terminated, the timing of same, and the status of services agreed upon in previously issued engagement letters.

This introductory paragraph may state, as follows: Our services to Doe Distribution Corporation consisted of the preparation of compiled quarterly financial statements and were concluded upon delivery to you in October 20XX of the compiled financial statements of Doe Distribution Corporation for the quarter ended September 30, 20XX, and our compilation report thereon.

how to write a legal opinion letter to client about resignation

If there is work-in-process, the termination letter should address the work product, if any, that the firm will deliver to the client.

Some state boards of accountancy consider the withholding of client records a discreditable act, even if there are outstanding fees. Perform research on applicable state board of accountancy regulations in the jurisdictions of both the firm and the client prior to withholding records.

From a risk management perspective, firms should avoid providing a partially completed work product to terminated clients or the successor CPA firm. The firm should be prepared to write off the fees for time incurred related to this work. The letter may state that: As of the date of this letter, our firm has no work-in-process for either John Doe or Doe Distribution Corporation.

Outstanding fees The letter should briefly state the status of outstanding fees, even if fee collection is unlikely. Seven-hundred and fifty dollars remains due and payable to our firm for the preparation of the 20XX New York State and U. In accordance with our understanding with you regarding professional services as documented in the attached engagement letters signed by you, interest is charged on unpaid fees at the rate of 1.

Items for client follow-up The letter should address outstanding accounting and tax matters that require follow-up or completion by the client or the successor CPA firm, clearly identifying deadline-sensitive items. You should consult with the successor CPA firm you select as soon as possible regarding estimated taxes and year-end tax planning.Professional Cover Letter Builder.

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Oliver Wendell Holmes Jr. (March 8, – March 6, ) was an American jurist who served as an Associate Justice of the Supreme Court of the United States from to , and as Acting Chief Justice of the United States in January–February Noted for his long service, concise and pithy opinions, and deference to the decisions of elected legislatures, he is one of the most widely.

how to write a legal opinion letter to client about resignation

Legal ethics site for lawyers with principal focus on conflicts of interest. “Justice is not only for the rich but for the Poor too” From time to time I received phone calls from friends or friends’ friends seeking for free legal advice.

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