Sarbanes-Oxley Act 2002: Federal law that sets requirements for all U.S. public company boards, management, and public accounting firms. Section 404 specifically addresses reporting requirements for auditor withdrawal.
Securities Exchange Act 1934: Federal law governing securities trading and requiring specific disclosures for publicly traded companies, including requirements for auditor communications.
SEC Regulations: Regulatory requirements from the Securities and Exchange Commission regarding proper procedures and communications for auditor withdrawals.
AICPA Professional Standards: Comprehensive set of professional standards that guide certified public accountants in performing their professional responsibilities, including withdrawal procedures.
PCAOB Auditing Standards: Standards set by the Public Company Accounting Oversight Board that govern the audits of public companies, including requirements for engagement withdrawal.
Statement on Auditing Standards: Professional standards issued by the Auditing Standards Board of the AICPA, providing guidance on audit procedures and reporting.
Auditing Standard No. 16: Specific standard governing communications with audit committees, including requirements for withdrawal notifications.
State Board of Accountancy Regulations: State-specific regulations governing the practice of public accountancy, including requirements for engagement termination.
AICPA Code of Professional Conduct: Ethical guidelines and principles that CPAs must follow, including provisions related to client relationships and termination.
Independence Requirements: Specific rules and regulations ensuring auditor independence, which may impact withdrawal decisions and procedures.
Confidentiality Obligations: Legal and professional requirements regarding the protection of client information during and after engagement withdrawal.
Documentation Requirements: Specific requirements for documenting the reasons for withdrawal, communications, and maintaining proper records.
Professional Liability Considerations: Legal and risk management aspects that must be considered when withdrawing from an audit engagement to protect against future claims.
