What should a conflicts check documentation include?

• A. Only the client's name.
• B. Document relationships, potential conflicts, and consent status.
• C. Financial statements of both parties.
• D. Internal memos with no details.

Answer: (B)

Conflicts check documentation should clearly capture any relationships or interests that could affect objectivity, along with how those conflicts are managed. Include the relationships that could give rise to a conflict (such as prior work for a client, personal or financial ties, or affiliations with other parties), a description of any potential conflicts and an assessment of how they might influence judgments or decisions, and the consent status showing that the client has been informed and provided any necessary waivers or approvals, including who gave consent, the scope, and any limitations. This creates an auditable record that demonstrates due diligence and alignment with ethical and professional standards. It should avoid including extraneous or sensitive materials like unrelated financial statements or internal memos with no detail.