When a successor (new) auditor requests information from a company's previous auditor, and there are legal problems or disputes between the client and the predecessor auditor, the predecessor auditor's response to the new auditor can be limited to stating that no information will be provided.

Question

Quizplus · Accepted Answer

This is because the predecessor auditor may be restricted by client confidentiality and legal considerations from sharing information with the successor auditor. If there are legal disputes, the predecessor auditor may also be concerned about potential legal liability for sharing information. Therefore, the predecessor auditor may choose to provide no information to the successor auditor in such situations.

When a Successor (New) Auditor Requests Information from a Company's