Is a remedy for the conflict of interest

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You are the accountant for a very successful import brokerage business. Customer goodwill is its largest asset. The three co-owners wish to enter into a buy-sell agreement that will require the surviving co-owners to purchase a departed partner's ownership interest upon the departed partner's withdrawal due to retirement, death, or permanent disability. One of the co-owners is 60 years-old and the other two co-owners are about 40 years-old. All three co-owners have retained you to develop a buyout formula that will result in the withdrawing partner receiving a fair price from the surviving co-owners. The formula will apply equally to all owners, and no partner has any current plans to withdraw from the partnership.

Problem 1: Do you have a conflict of interest?

Problem 2: Is there a remedy for this conflict of interest?

Problem 3: Are you obligated to make disclosures to these partners in order to continue to perform this engagement?

Reference no: EM132613698

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