C-48.1, r. 6 - Code of ethics of chartered professional accountants

Replaced on 9 May 2024

This document has official status.

chapter C-48.1, r. 6

Code of ethics of chartered professional accountants

Chartered Professional Accountants Act

(chapter C-48.1, s. 2).

Professional Code

(chapter C-26, s. 87).

Replaced, O.C. 716-2024, 2024 G.O. 2, 1187; eff. 2024-05-09; see chapter C-48.1, r. 6.1.

The former alphanumerical designation of this Regulation was: chapter C-48, r. 4.

O.C. 58-2003; S.Q. 2012, c. 11, s. 34.

CHAPTER I DUTIES AND OBLIGATIONS TOWARDS THE PUBLIC

DIVISION I GENERAL PROVISIONS

1. Each member shall comply with the Chartered Professional Accountants Act (chapter C-48.1), the Professional Code (chapter C-26) and the regulations thereunder. The member shall, in particular, take reasonable measures to ensure that each person involved with him in the practice of his profession and any partnership or joint-stock company within which he practises his profession complies with the Chartered Professional Accountants Act, the Professional Code and the regulations thereunder.

O.C. 58-2003, s. 1; O.C. 779-2004, s. 1; O.C. 944-2010, s. 1; S.Q. 2012, c. 11, s. 42.

2. A member shall not permit others to carry out on his behalf acts which, if he carried them out himself, would place him in violation of the Chartered Professional Accountants Act (chapter C-48.1), the Professional Code (chapter C-26) or a regulation thereunder.

O.C. 58-2003, s. 2; S.Q. 2012, c. 11, s. 42.

3. A member’s duties and obligations under the Chartered Professional Accountants Act (chapter C-48.1), the Professional Code (chapter C-26) and regulations thereunder are in no way changed or reduced by the fact that he practises the profession within a partnership or company.

O.C. 58-2003, s. 3; S.Q. 2012, c. 11, s. 42.

4. A member shall ensure that his obligations towards the partnership or company of which he is a director or officer are not incompatible with his obligations towards his client or employer.

O.C. 58-2003, s. 4.

5. A member shall, at all times, act with dignity and avoid any method or attitude that is likely to damage the profession’s good reputation.

O.C. 58-2003, s. 5.

6. A member shall keep his knowledge current. He shall keep abreast of developments in the fields of practice of his profession whether or not he offers services to the public and maintain his competence in these fields.

O.C. 58-2003, s. 6.

7. A member shall have the personal charge and management of any establishment of a partnership or company holding itself out as a partnership or company of chartered professional accountants or within which one or more members offer assurance services.

O.C. 58-2003, s. 7.

8. A member shall not hold out or imply that he has an establishment in any place where he is in fact only represented by another person who is neither his partner nor a director nor a shareholder of the partnership or company. Conversely, a member who only so represents a member, partnership or company shall not hold out or imply that he maintains an establishment for such member, partnership or company.

O.C. 58-2003, s. 8.

9. A member who practises his profession within a general partnership or an undeclared partnership of which not all partners are members of the Order is subject to the conditions set out in the Regulation respecting the practice of the chartered professional accountancy profession within a partnership or a joint-stock company (chapter C-48.1, r. 16).

O.C. 58-2003, s. 9.

10. A member shall not adopt any method of obtaining or attracting clients which tends to lower the standard of dignity of the profession and, in particular, he shall not urge anyone pressingly or repeatedly to retain his professional services.

O.C. 58-2003, s. 10.

DIVISION II DEROGATORY ACTS

11. Shall be guilty of an act derogatory to the dignity of the profession, in addition to those mentioned in sections 57, 58, 59.1 and 59.2 of the Professional Code (chapter C-26) and those that may be determined pursuant to the second paragraph of section 152 of the Professional Code, any member of the Order who:

(1)  is found guilty by a final judgment of a court of competent jurisdiction of an offence against any tax Act or securities Act in Canada or elsewhere;

(2)  makes an assignment of his property or against whom a receiving order is made, within the meaning of the Bankruptcy and Insolvency Act (R.S.C. 1985, c. B-3), or whose partnership or company within which he practices his profession, of which he is the sole director and shareholder, makes an assignment of its property or has a receiving order made against it, within the meaning of the Bankruptcy and Insolvency Act, by a final judgment of a court of competent jurisdiction;

(3)  is in one of the situations contemplated in subsection (2) and fails to inform the Order without delay;

(4)  fails to inform the Order that he has reason to believe that a member is practising his profession in a manner which is detrimental to his clients, his employer or the public, or has violated the Chartered Professional Accountants Act (chapter C-48.1), the Professional Code or the regulations thereunder, or that he is incompetent;

(5)  communicates with the plaintiff without the prior written permission of the syndic or assistant syndic when he is informed by the syndic or assistant syndic that an inquiry into his professional conduct or competence has been initiated by either of them or when he has been served notice of a complaint under section 132 of the Professional Code.

O.C. 58-2003, s. 11; O.C. 944-2010, s. 2; S.Q. 2012, c. 11, s. 42.

12. Shall also be guilty of an act derogatory to the dignity of the profession, any member who carries on his professional activities within a partnership or company:

(1)  with persons who engage in acts that are derogatory to the honour or dignity of the chartered professional accountancy profession;

(2)  in which directors, shareholders, partners or employees practise a profession, carry on a trade, enterprise or business or hold an office or function that is inconsistent with the practice of the profession;

(3)  in which a person contemplated in subparagraph a of subparagraph 1 of the first paragraph of the Regulation respecting the practice of the chartered professional accountancy profession within a partnership or a joint-stock company (chapter C-48.1, r. 16), who holds partnership or company shares with voting rights or acts as a director or officer is struck off the roll of his professional order or has his professional permit revoked.

O.C. 58-2003, s. 12.

13. Notwithstanding section 12, a member is authorized to practise his profession within a partnership or company in which a person contemplated in paragraph 3 of section 12 is struck off the roll of his professional order or the equivalent, or has his professional permit revoked, provided the following conditions are satisfied:

(1)  the said person ceases to be a director or officer of the partnership or company within 10 days from the date on which the penalty or measure imposed becomes executory or within any other additional timeframe authorized by the board of directors;

(2)  the said person ceases to attend all shareholder meetings and to exercise, directly or indirectly, his right to vote within 10 days from the date on which the penalty or measure imposed becomes executory or within any other additional timeframe authorized by the board of directors;

(3)  the said person disposes of his partnership or company shares with voting rights within 180 days from the date on which the penalty or measure imposed becomes executory or within any other additional timeframe authorized by the board of directors.

O.C. 58-2003, s. 13.

14. Shall be guilty of an act derogatory to the dignity of the profession, any member who carries on his professional activities within a partnership or company that holds out or implies that it is a partnership or company governed by the Professional Code (chapter C-26) where such partnership or company does not comply with the requirements set out in the Professional Code or the Regulation respecting the practice of the chartered professional accountancy profession within a partnership or a joint-stock company (chapter C-48.1, r. 16).

O.C. 58-2003, s. 14.

15. Shall also be guilty of an act derogatory to the dignity of the profession, any member who concludes or allows to be concluded, within a partnership or company holding itself out to be a partnership or company of chartered professional accountants, or within which one or more members offer assurance services, any agreement, particularly a unanimous shareholders’ agreement, that impairs the independence, objectivity and integrity necessary to provide assurance services or that could lead members to violate the Chartered Professional Accountants Act (chapter C-48.1), the Professional Code (chapter C-26) and the regulations thereunder.

O.C. 58-2003, s. 15; S.Q. 2012, c. 11, ss. 34 and 42.

CHAPTER II DUTIES AND OBLIGATIONS TOWARDS THE CLIENT AND THE EMPLOYER

DIVISION I GENERAL PROVISIONS

16. Whether his duties and obligations be towards the public, a client or an employer, a member shall, in all circumstances before entering into a contract relating to the practice of the profession, consider the extent of his proficiency, knowledge and the means at his disposal. He shall not, in particular, undertake work for which he is not sufficiently prepared or for which he does not have the proficiency or knowledge required without obtaining the necessary assistance.

O.C. 58-2003, s. 16; O.C. 779-2004, s. 2.

17. A member shall abstain from practising in conditions likely to impair the quality of his services and the dignity of the profession.

O.C. 58-2003, s. 17.

18. A member shall abstain from intervening in the personal affairs of his client or employer on matters outside the scope of his contract.

O.C. 58-2003, s. 18.

19. A member shall act with due care, in keeping with current professional accounting and assurance standards, with the other standards or rules set out in CPA Canada Handbook and with current scientific knowledge.

A member who is responsible, in whole or in part, for preparing or approving financial statements or for overseeing the accounting and financial reporting processes shall also ensure that such statements and processes comply with the standards or rules contemplated in the first paragraph.

O.C. 58-2003, s. 19; O.C. 779-2004, s. 3; O.C. 944-2010, s. 3; I.N. 2016-06-01.

19.0.1. The management accounting standards generally accepted in the profession are those set out in the Management Accounting Guidelines of the Society of Management Accountants of Canada.

When a member deviates from one of the guidelines, the member must, to the extent possible, refer to authoritative literature and indicate the deviation.

S.Q. 2012, c. 11, s. 42.

19.1. A member who participates in an assurance engagement or a specified auditing procedures engagement shall notify the person responsible for the engagement if the financial statements are not in accordance with the standards or rules contemplated in section 19.

If, after notification, the financial statements are still not in accordance with these standards or rules, the member shall notify in writing one of the partners or shareholders with voting rights of the partnership or joint-stock company within which he practises his profession. Such partner or shareholder shall hold the most senior position within the partnership or joint-stock company.

The member shall send the notifications provided for in the first and second paragraphs prior to the issuance of the financial statements or, failing which, as soon as possible. He shall also record and retain in the file the purpose of the notifications and the date on which the notifications were sent.

The information and the notifications referred to in the second paragraph shall be retained for a minimum of 24 months from the date they were sent or for any other period provided for in CPA Canada Handbook.

O.C. 779-2004, s. 3; O.C. 944-2010, s. 4; I.N. 2016-06-01.

19.2. A member who is responsible for applying the standards or rules contemplated in section 19 or for overseeing their application within an enterprise that is the subject of an engagement contemplated in section 19.1 shall notify his immediate superior if the financial statements are not in accordance with these standards or rules.

If, after such notification, the financial statements are still not in accordance with these standards or rules, the member shall also notify in writing the enterprise’s audit committee or similar body or, where there is no audit committee or similar body, the board of directors and the professional responsible for the engagement.

A member shall satisfy the obligations provided for in the third and fourth paragraphs of section 19.1.

O.C. 779-2004, s. 3; O.C. 944-2010, s. 5.

19.3. A member who prepares or approves, in whole or in part, financial statements intended solely for an enterprise’s internal management purposes is dispensed from having to satisfy the obligations set out in sections 19 and 19.2.

O.C. 779-2004, s. 3; O.C. 944-2010, s. 6.

20. (Revoked).

O.C. 58-2003, s. 20; O.C. 779-2004, s. 4.

21. A member who performs a contract, in whole or in part, in the practice of his profession, assumes full personal civil liability arising therefrom, regardless of his status within the partnership or company. He is forbidden to include in such contract any clause to the effect of directly or indirectly, fully or partially, excluding this liability. He may not invoke the liability of the partnership or company as a ground for excluding or limiting his own liability.

O.C. 58-2003, s. 21.

22. A member shall not prevent a client or the member’s employer from consulting a member, another professional of his choice or another person.

O.C. 58-2003, s. 22; S.Q. 2012, c. 11, s. 42.

22.1. A member who is responsible for issuing a report or an opinion in the practice of public accountancy, other than compilation engagement reports that are not intended solely for internal management purposes, shall include his name or permit number on such report or opinion.

O.C. 779-2004, s. 5; O.C. 944-2010, s. 7.

DIVISION II INTEGRITY

O.C. 58-2003, div. II; O.C. 779-2004, s. 6.

23. A member shall perform his professional duties with integrity and objectivity.

O.C. 58-2003, s. 23; O.C. 779-2004, s. 7.

24. A member shall avoid any misrepresentation with respect to his level of competence or the efficiency of his own services, the professional services generally performed by the other persons who carry out their professional activities within the partnership or joint-stock company within which the member practises his profession, or the services generally performed by members of the profession. If the interest of a client so requires, he shall, with the authorization of such client, consult another member of the Order, another professional or another competent person, or refer such client to one of these persons.

O.C. 58-2003, s. 24; O.C. 779-2004, s. 8; O.C. 944-2010, s. 8; S.Q. 2012, c. 11, s. 42.

25. A member shall inform a client, as soon as possible, of the scope and terms and conditions of the contract entrusted to him by such client.

O.C. 58-2003, s. 25.

25.1. (Revoked).

O.C. 779-2004, s. 9; O.C. 944-2010, s. 9.

25.2. (Revoked).

O.C. 779-2004, s. 9; O.C. 944-2010, s. 9.

26. (Revoked).

O.C. 58-2003, s. 26; O.C. 779-2004, s. 10.

27. (Revoked).

O.C. 58-2003, s. 27; O.C. 779-2004, s. 10.

28. (Revoked).

O.C. 58-2003, s. 28; O.C. 779-2004, s. 10.

29. (Revoked).

O.C. 58-2003, s. 29; O.C. 779-2004, s. 10.

30. (Revoked).

O.C. 58-2003, s. 30; O.C. 779-2004, s. 10.

31. (Revoked).

O.C. 58-2003, s. 31; O.C. 779-2004, s. 10.

32. (Revoked).

O.C. 58-2003, s. 32; O.C. 779-2004, s. 10.

33. (Revoked).

O.C. 58-2003, s. 33; O.C. 779-2004, s. 10.

34. A member shall not sign, prepare, produce or even associate his name with any letter, attestation, opinion, report, statement, representation, financial statement or other document, which he knows, or should know, contains false or misleading information, out of complacency or without ensuring that such documents are in compliance with good practices or current scientific knowledge.

O.C. 58-2003, s. 34; O.C. 779-2004, s. 11; O.C. 944-2010, s. 10.

35. (Revoked).

O.C. 58-2003, s. 35; O.C. 779-2004, s. 12.

36. A member who performs an assurance engagement or a specified auditing procedures engagement or who participates in such an engagement shall:

(1)  reveal any material fact known to him which is not disclosed in the financial statements or other subject matter of the engagement, the omission of which renders the financial statements misleading; and

(2)  report any material misstatement known to him to be contained in the financial statements or other subject matter of the engagement.

O.C. 58-2003, s. 36; O.C. 779-2004, s. 14.

36.1. A member shall handle with reasonable care any property entrusted to him by a client or employer.

O.C. 779-2004, s. 14.

36.2. A member who receives, handles or holds money or securities as a trustee, guardian, administrator, mandator or liquidator shall maintain such records as are necessary to account for his management, custody, mandate or contract.

The money or securities thus received, handled or held shall be kept in a separate trust account or accounts in a financial institution.

Except when specifically authorized in writing by a client, a member shall not use, transfer, withdraw or otherwise employ such money or securities as payment for his fees or for purposes other than those for which they were entrusted.

O.C. 779-2004, s. 14.

DIVISION II.1 INDEPENDENCE

O.C. 779-2004, s. 14.

§ 1 . —

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 11.

36.3. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 11.

§ 2 . — General provisions

O.C. 779-2004, s. 14.

36.4. A member who performs or participates in an assurance engagement or a specified auditing procedures engagement shall remain free of any influence, interest or relationship which, in respect of the engagement, may impair or be perceived as impairing his professional judgment or objectivity.

The member shall comply with the independence standards provided for in Rule 204 of the CPA Code of Professional Conduct adopted on 20 June 2016 by CPA Canada’s Public Trust Committee and any subsequent amendments thereto. These standards are disclosed in a publication sent by the Order to all its members and in an electronic document available to all on the Order’s website.

O.C. 779-2004, s. 14; O.C. 944-2010, s. 12; O.C. 844-2017, s. 1.

36.5. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 11.

36.6. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 11.

§ 3 . —

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

§§ 3.1.  — 

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

36.7. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

§§ 3.2.  — 

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

§§§ 3.2.1.  — 

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

36.8. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

§§§ 3.2.2.  — 

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

36.9. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

§§ 3.3.  — 

(Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

36.10. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

36.11. (Revoked).

O.C. 779-2004, s. 14; O.C. 944-2010, s. 13.

DIVISION II.2 CONFLICT OF INTEREST

O.C. 779-2004, s. 14.

36.12. A member shall not place himself in a situation where his loyalty to his client or employer may be compromised.

Subject to section 36.13, a member shall not place himself in a position where his self-interest or the interest of the partnership or joint-stock company within which he practises his profession conflicts, or would be perceived as conflicting, with the interest of his client or the clients of the partnership or joint-stock company.

A member shall inform his client or employer of any interests, business connections or relationships of which the client or employer should be informed.

O.C. 779-2004, s. 14.

36.13. A member shall, before agreeing to provide professional services, determine whether there is any restriction, influence, interest or relationship which, in respect of these professional services, would place him, or would be perceived as placing him, in a conflict of interest position.

Conflict of interest situations shall be assessed in respect of all clients of the partnership or joint-stock company.

O.C. 779-2004, s. 14.

36.14. A member shall decline to perform professional services or cease to provide such services if the performance of the services creates a conflict of interest or is perceived as creating a conflict of interest, or as soon as he discovers a conflict of interest or is perceived as being in a conflict of interest position, unless the affected clients have knowledge of the conflict of interest and have consented to it or the member uses conflict management techniques and obtains the consent of all affected clients before performing the professional services.

O.C. 779-2004, s. 14.

37. A member shall inform his client or employer of any interests, business connections and affiliations of which the client or employer should normally be informed.

This does not necessarily include disclosure to his client of professional services that he may be rendering or proposing to render to other clients.

O.C. 58-2003, s. 37.

38. A member shall not hold, receive, bargain for or acquire, directly or indirectly, any compensation, fee or benefit for personal advantage or for the advantage of the partnership or joint-stock company within which he practises his profession without the client’s knowledge and consent or without his employer’s knowledge and consent as the case may be.

O.C. 58-2003, s. 38; O.C. 779-2004, s. 15.

39. Other than in relation to the sale and purchase of the clientele of a member or of a partnership or company, a member engaged in the practice of public accounting shall not directly or indirectly pay to any person who is not in the practice of public accounting a commission or other compensation to obtain a client, nor shall he accept directly or indirectly from any person who is not in the practice of public accounting a commission or other compensation for referring the products or services of such person to a client.

O.C. 58-2003, s. 39.

DIVISION II.3 ACCESS TO RECORDS

O.C. 779-2004, s. 16.

40. (Revoked).

O.C. 58-2003, s. 40; O.C. 779-2004, s. 17.

41. (Revoked).

O.C. 58-2003, s. 41; O.C. 779-2004, s. 17.

42. (Revoked).

O.C. 58-2003, s. 42; O.C. 779-2004, s. 17.

43. (Revoked).

O.C. 58-2003, s. 43; O.C. 779-2004, s. 17.

44. (Revoked).

O.C. 58-2003, s. 44; O.C. 779-2004, s. 17.

45. (Revoked).

O.C. 58-2003, s. 45; O.C. 779-2004, s. 17.

46. A member shall respect the right of his client, or of a representative of his client authorized to that effect, to take cognizance and obtain copy of any documents concerning the client in any file developed in connection with him in the performance of a contract. Particularly, a member shall, on request, hand to his client, or to a representative of his client authorized to that effect, copy of any documents which are part of the accounting records of his client.

O.C. 58-2003, s. 46.

46.1. A member shall promptly return to a client or, if so instructed by such client, to his successor, the records and documents belonging to the client, whether or not his fees have been paid.

O.C. 779-2004, s. 18.

47. (Revoked).

O.C. 58-2003, s. 47; O.C. 779-2004, s. 19.

DIVISION II.4 PROFESSIONAL SECRECY

O.C. 779-2004, s. 20.

48. A member is bound by professional secrecy and may not disclose confidential information revealed to him by reason of his profession, unless he is authorized to do so by the person who confided such information to him or by an express provision of law. In addition, the member is released from his obligation of professional secrecy in the case and in accordance with the terms and conditions set out in section 48.1.

O.C. 58-2003, s. 48; O.C. 22-2004, s. 1.

48.1. A member who, pursuant to the third paragraph of section 60.4 of the Professional Code (chapter C-26), communicates information protected by professional secrecy to prevent an act of violence shall:

(1)  communicate the information without delay to the person exposed to the danger or that person’s representative, and to the persons who can come to that person’s aid;

(2)  use a method of communication that ensures the confidentiality of the information under the circumstances; and

(3)  enter the following information in the client’s record as soon as possible:

(a)  the purpose of the communication;

(b)  the date on which the information was communicated;

(c)  the method of communication used;

(d)  the name of all persons to whom the information was communicated; and

(e)  the reasons for the decision to communicate the information.

O.C. 22-2004, s. 2.

49. A member shall not make use of confidential information in a manner which may be prejudicial to a client or employer or with a view to obtaining directly or indirectly a benefit for himself or for another person.

O.C. 58-2003, s. 49.

DIVISION III AVAILABILITY AND DILIGENCE

50. In the practice of his profession, a member shall display reasonable availability and diligence.

O.C. 58-2003, s. 50.

51. A member shall report to his client or employer when the client or employer so requests.

O.C. 58-2003, s. 51.

52. Unless for good and sufficient reason, a member may not cease to act on behalf of a client. The following shall, in particular, constitute good and sufficient reasons:

(1)  loss of the client’s confidence;

(2)  the fact that the member is placed in a conflict of interest situation or in circumstances where his professional independence could be questioned;

(3)  inducement by the client to perform illegal, unjust or fraudulent acts;

(4)  refusal by the client to recognize an obligation for the professional fees and expenses or, after being given reasonable notice, to pay an amount to the member to cover such fees and expenses.

O.C. 58-2003, s. 52; O.C. 779-2004, s. 21.

53. Before ceasing to act on behalf of a client, a member shall give such client reasonable advance notice of withdrawal and shall make sure that such withdrawal will not prejudice the client.

O.C. 58-2003, s. 53.

DIVISION IV SETTING AND PAYMENT OF FEES

54. A member shall charge just and reasonable fees. In determining his fees, he shall in particular take the following factors into account:

(1)  the time devoted to the performance of the professional service;

(2)  the difficulty and importance of such service;

(3)  the performance of unusual services or of services requiring exceptional competence or celerity;

(4)  his experience and expertise;

(5)  the importance of the responsibility assumed.

O.C. 58-2003, s. 54.

55. A member shall provide a client with all the explanations necessary to understand his account for fees and shall, in particular, ensure that the account is broken down so that the professional services performed can be identified.

O.C. 58-2003, s. 55.

56. A member shall not require full advance payment for his services.

O.C. 58-2003, s. 56.

57. A member shall make sure that his client is informed of the approximate and foreseeable cost of his services unless he can reasonably assume that the client is already informed. A member shall inform his client without undue delay if he expects to exceed the approximate cost.

O.C. 58-2003, s. 57; O.C. 779-2004, s. 22.

58. A member shall avoid setting his fees without obtaining all important information allowing him to establish such fees.

O.C. 58-2003, s. 58.

59. Where a member carries on his professional activities within a joint-stock company, the revenue generated by the member while rendering professional services within and on behalf of the company belongs to the company, unless agreed to otherwise.

In such a case, the setting, billing and payment of fees are subject to the conditions set out in sections 54 to 58 and the member remains personally responsible for their application.

O.C. 58-2003, s. 59.

59.1. Subject to a decision of a court or other authority, a member shall not agree on a contingent fee with a client, i.e. offer or undertake to perform professional services for a fee payable only where a specified result of the service will be obtained or determined by reference to the result of the service:

(1)  for any professional service requiring the member to hold himself free of any influence, interest or relationship which, in respect to the performance of his professional services, may impair or be perceived as impairing his professional judgment or objectivity;

(2)  for a compilation engagement.

O.C. 779-2004, s. 23.

59.2. Subject to a decision of a court or other authority, a member shall not agree on a contingent fee with a client for a professional service not referred to in section 59.1 when such an agreement is liable to:

(1)  impair or be perceived as impairing his professional judgment or objectivity in the performance of the professional services provided for under paragraph 1 of section 59.1;

(2)  influence or be perceived as influencing the results of a compilation engagement.

O.C. 779-2004, s. 23.

59.3. Notwithstanding section 59.2, a member may agree on a contingent fee with a client for the following professional services:

(1)  tax refund claims;

(2)  assisting in tax appeals or preparing notices of objection to tax or tax assessments and reassessments;

(3)  executive search services;

(4)  personal financial planning services.

O.C. 779-2004, s. 23.

59.4. A member who charges a contingent fee shall have agreed with the client in writing on the basis for determining the fee before he begins to perform the professional services.

If the nature of the professional services changes while they are being performed, the member shall reassess whether the conditions set out in sections 59.1 and 59.2 are still met.

O.C. 779-2004, s. 23.

CHAPTER III DUTIES AND OBLIGATIONS TOWARDS THE PROFESSION

60. A member shall cooperate with the Order or any person appointed to assist it and reply without undue delay to any letter from the Order or such person.

O.C. 58-2003, s. 60.

60.1. A member who is informed that an inquiry is being held or who has been served notice of a complaint regarding his professional conduct or competence shall not, directly or indirectly, harass, intimidate or threaten the person who requested the inquiry, or any other person involved in the events relating to the inquiry or complaint. The member may not communicate with the plaintiff without the prior written permission of the Syndic or Assistant Syndic.

O.C. 22-2004, s. 3; O.C. 944-2010, s. 14.

61. In all circumstances, a member shall ensure the accuracy and integrity of the information he provides to the Order. The member shall, at all times, honour his commitments to the Order in respect of the supervision of the practice of the profession.

O.C. 58-2003, s. 61; O.C. 944-2010, s. 15.

62. Before practicing the profession in a new establishment or joining a partnership, joint-stock company or organization that offers professional services to the public, or before undertaking to practice public accountancy, a member shall notify the Order in writing and indicate the name of the partnership, joint-stock company or organization within which the member will be practicing.

A member shall notify the Order of any change with respect to his status as a member, his home, work or electronic address or his relevant telephone numbers.

A post office box is not considered to be an address for the purposes of this section.

O.C. 58-2003, s. 62; O.C. 944-2010, s. 16.

CHAPTER IV DUTIES AND OBLIGATIONS TOWARDS PROFESSIONAL COLLEAGUES

63. Before accepting an engagement contemplated in subparagraph 2 of the third paragraph of section 1 or a compilation engagement where he is replacing another accountant, a member shall first communicate with such accountant and enquire whether there are any circumstances he should take into account which might influence his decision to accept or refuse the engagement.

O.C. 58-2003, s. 63.

64. Pursuant to section 63, if the accountant being replaced is another member, the latter shall respond on a timely basis to the requests of the member communicating with him.

O.C. 58-2003, s. 64.

65. A member who accepts a contract in public accounting or another function jointly with another member who practises within another partnership or company shall be solidarily liable for the entire contract; no member shall proceed in any matter relating to such contract without due notice to the other member.

O.C. 58-2003, s. 65.

66. When not limited or restricted in writing by the terms of his contract, a member engaged in the practice of public accounting shall, before commencing an engagement contemplated under subparagraph 2 of the third paragraph of section 1 for a client who has mandated another accountant to perform an assurance or compilation engagement, first notify the other accountant of his engagement.

O.C. 58-2003, s. 66.

67. A member shall not damage the reputation of the profession or of another member of the Order or of a member of CPA Canada by denigrating the competence, knowledge or services of such members. In particular, a member shall not be guilty of breach of trust or disloyal practices towards such members.

O.C. 58-2003, s. 67; I.N. 2016-06-01.

68. A member acting as a training employer shall inform without delay any candidate for the practice of the profession who is serving a professional training period in accordance with the Regulation respecting the terms and conditions for the issue of a permit of the Ordre des comptables agréés du Québec (chapter C-48.1, r. 10), when he is no longer approved as a training employer or when his partnership or company or, if such partnership or company has several establishments, when the establishment within which the member practises his profession, is no longer approved as a training employer.

O.C. 58-2003, s. 68.

CHAPTER V PROVISIONS RESPECTING ADVERTISING

69. A member may not advertise, or have advertised, in any manner whatsoever, material that is false, misleading or incomplete, or that is derogatory to the honour or dignity of the profession.

O.C. 58-2003, s. 69.

70. A member may not, in his advertisements or in advertisements of the partnership or company within which he practises, confer upon himself or have conferred specific qualities or skills, in particular with respect to his level of competence or the extent or effectiveness of his services, unless they can be supported.

O.C. 58-2003, s. 70.

71. A member may not, in his advertisements, compare the quality of his services with that of services offered by other members.

O.C. 58-2003, s. 71.

72. A member who advertises the cost of his services shall provide such explanations and information that are necessary to appropriately inform a person with no specific knowledge of the field of practice about the professional services being offered and the cost of such services. The member shall in particular indicate whether additional services may be required that are not included in the cost.

All costs for services shall remain in effect for a minimum period of 90 days after they were last issued or published.

O.C. 58-2003, s. 72; S.Q. 2012, c. 11, s. 42.

73. A member may not allow the partnership or company within which he practises to advertise assurance services or imply that it is a partnership or company of chartered professional accountants unless such partnership or company complies with the requirements set out in the Regulation respecting the practice of the chartered professional accountancy profession within a partnership or a joint-stock company (chapter C-48.1, r. 16) and section 9 of this Regulation.

O.C. 58-2003, s. 73.

74. A member shall keep a complete copy of all advertising material in its original form for a period of 36 months following its last issue or publication. Upon request, this copy shall be handed over to the syndic or assistant syndic, the professional inspection committee or an inspector.

O.C. 58-2003, s. 74; S.Q. 2012, c. 11, s. 42.

CHAPTER VI GRAPHIC SYMBOL OF THE ORDER

75. The Ordre des comptables professionnels agréés du Québec is represented by a graphic symbol, which is a certification mark of CPA Canada and an official mark of the Order.

A member who uses the graphic symbol of the Order in advertisements shall ensure that it complies with the one approved by the Order.

A member may not allow a partnership or company that does not comply with the conditions for using these marks and the requirements of the Regulation respecting the practice of the chartered professional accountancy profession within a partnership or a joint-stock company (chapter C-48.1, r. 16) to use the Order’s graphic symbol.

O.C. 58-2003, s. 75; O.C. 944-2010, s. 17; I.N. 2016-06-01.

CHAPTER VII FIRM NAME

76. A member shall not carry on his profession within a partnership or company under a firm name or any other designation which is misleading, derogatory to the honour or dignity of the profession or is a numbered name.

A member may consult an advisor designated for this purpose by the Ordre to determine whether the use of a name or designation is in keeping with the honour or dignity of the profession.

O.C. 58-2003, s. 76.

CHAPTER VIII FINAL PROVISIONS

77. This Regulation replaces the Code of ethics of chartered accountants (R.R.Q., 1981, c. C-48, r. 2) and the Chartered Accountants (Advertising) Regulation (O.C. 2408-84, 84-10-31).

O.C. 58-2003, s. 77.

78. (Omitted).

O.C. 58-2003, s. 78.

TRANSITIONAL

2012

(S.Q. 2012, c. 11) SECTION 42. Section 19.0.1 enacted by subparagraph 3 of the first paragraph applies only to

(1) the members of the Ordre des comptables en management accrédités du Québec who become members of the Ordre des comptables professionnels agréés du Québec under section 56; and

(2) the persons who, after 16 May 2012, are entered on the roll of the Ordre des comptables professionnels agréés du Québec after having obtained their permit under a regulation made by the board of directors of the Ordre des comptables en management accrédités du Québec in accordance with paragraph c of section 93 or paragraph q of section 94 of that Code, or section 1.25 of the Regulation respecting the diplomas issued by designated educational institutions which give access to permits or specialist’s certificates of professional orders (chapter C-26, r. 2) and, if applicable, paragraph i of section 94 of that Code, as they read on 15 May 2012.

Sections 59.1 to 59.4 of the Code of ethics of chartered professional accountants (chapter C-48.1, r. 6) apply to the members of the Ordre des comptables généraux accrédités du Québec or of the Ordre des comptables en management accrédités du Québec who become members of the Ordre des comptables professionnels agréés du Québec under section 56 only from 16 May 2013.

2010

(O.C. 944-2010) SECTION 18. A member who performs an audit engagement, has primary responsibility for the engagement or is on the engagement team or a team within a network partnership or joint-stock company, for a client that is a mutual fund or a reporting issuer not subject to the definition of “listed enterprise” set out in section 36.3 (O.C. 779-2004, 2004-08-10), is in compliance with the independence rule contemplated in section 36.4, as amended by section 12, if the member complies with the requirements of sections 36.4 to 36.11 as approved by Order in Council during the period that covers the client’s two subsequent fiscal years beginning on or after 8 December 2010.

A member who acts as the engagement quality control reviewer on an audit engagement for a client referred to in the first paragraph, during the period specified in the first paragraph, is in compliance with the independence rule set out in section 36.4, as amended by section 12, if the member respects paragraph 4 of section 36.9 as approved by the 2004 Order in Council.

A member who is responsible for decision-making on auditing, accounting and reporting matters that affect the performance of the audit engagement for a client referred to in the first paragraph, or who maintains regular contact with the audit committee or management of this client or who provides, during the period of the audit engagement, more than 10 hours of assurance services in connection with the annual financial statements or the interim financial information of the client, or who is responsible for an audit engagement for a subsidiary of the client, is in compliance with, for the period specified in the first paragraph, the independence rule contemplated in section 36.4, as amended by section 12, if the member complies with paragraph 5 of section 36.9, as approved by the 2004 Order in Council.

REFERENCES

O.C. 58-2003, 2003 G.O. 2, 861

O.C. 22-2004, 2004 G.O. 2, 809

O.C. 779-2004, 2004 G.O. 2, 2551

O.C. 712-2005, 2005 G.O. 2, 3341

S.Q. 2008, c. 11, s. 212

O.C. 944-2010, 2010 G.O. 2, 2987

S.Q. 2012, c. 11, ss. 32, 34 and 42

O.C. 844-2017, 2017 G.O. 2, 2629