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Unformatted text preview: f the internal control over financial reporting or (b) generate information that is significant to the client’s accounting recordsor financial
statements on which the firm will express an opinion. 76 Litigation Support Services
290.207 Litigation support services may include activities such as acting as an expertwitness,
calculating estimated damages or other amounts that might becomereceivable or payable as the
result of litigation or other legal dispute, andassistance with document management and
retrieval. These services maycreate a self-review or advocacy threat.
290.208 If the firm provides a litigation support service to an audit client and theservice involves
estimating damages or other amounts that affect thefinancial statements on which the firm will
express an opinion, thevaluation service provisions included in paragraphs 290.175 to
290.180shall be followed. In the case of other litigation support services, thesignificance of any
threat created shall be evaluated and safeguards appliedwhen necessary to eliminate the threat
or reduce it to an acceptable level.
290.209 For the purpose of this section, legal services are defined as any services forwhich the person
providing the services must either be admitted to practicelaw before the courts of the
jurisdiction in which such services are to beprovided or have the required legal training to
practice law. Such legalservices may include, depending on the jurisdiction, a wide and
diversifiedrange of areas including both corporate and commercial services to clients,such as
contract support, litigation, mergers and acquisition legal advice andsupport and assistance to
clients’ internal legal departments. Providing legalservices to an entity that is an audit client
may create both self-review andadvocacy threats.
290.210 Legal services that support an audit client in executing a transaction (forexample, contract
support, legal advice, legal due diligence andrestructuring) may create self-review threats. The
existence and significanceof any threat will depend on factors such as:
• The nature of the service; • Wheth...
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This document was uploaded on 04/03/2014.
- Spring '14