audit right at business partner 2937

  • Hi all
    i need an explanation if possible
    how do you establish or where can i find the list of partner which can escape from audit for compliance purpose?
    i’m asking because, i hear that lawers aren’t subject to audit because they have an exeption…
    where can i find such statements
    thanks for feedback

  • While most of my SOX experience is on the IT side, I’m guessing that business partners cannot be compelled to participate extensively in SOX audits (unless perhaps it is stipulated in the business contract itself).
    I believe these types of arrangements may need to be made ahead of time if there is a considerable financial consideration for SOX audits at a 3rd party site. Lawyers may have one area of execption as they are not involved directly in financial business flows – but on second thought maybe they are given the charges these days 😉
    Certainly, errors handling plus normal audits related to business conduct would occur anyway, but to compel the business partner to participate in testing/sampling may need to be specified in writing ahead of time?

  • hello again harry
    maybe i’ve wrotte it wrongly, sorry, but i was asking about the exception that a buzziness partner can have so he canno’t be subject to audit , except if he’s agree
    as instance, athorney in some countries has such exception so no body can audit them
    do you have any knowledge on that ??

  • Hi Selena – Usually businesses that work with other 3rd parties have Terms and Conditions spelled out in contracts that define rights and responsiblities. How a contract is worded certainly could determine ‘rights of audits’, ‘how errors will be handled’, and other critical issues, etc.
    Other than the contract itself, general law would cover what the primary company could or could not do with respects to SOX auditability. This would cover situations where no contract is in place or there’s no specific wording.
    I’m not aware otherwise of situations where a 3rd party would be included/excluded based solely on their profession (e.g., there is no general provision in business law I’m aware of that would make exceptions for lawyers).

  • Hi Harrywaldrow
    thanks for feedback,
    actualy, there is such exeption
    our lawyer, is Bus partner, but on local law, no body can conduct an audit on their bus exept a official heneral athorney, this is what i used to hear from our regional compliance officer from whom, lowyer got kind of immunity, i’ve succed to find the article in regulation relating to lawyer, there is this clause but previous to that i read that they are asked to act with ethic, moral, equity…all conditions of compliance. now i’m confused, i would need a general council maybe, because for me, if there is a behavior which is against these rules, does this don’t mean to have right to audit them or to ask the official general athorney to do so ??
    what is your hint on that ?

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