In Some Jurisdictions,laborers,including Accountants,are Given a Lien Over Client Records

question 28

Multiple Choice

In some jurisdictions,laborers,including accountants,are given a lien over client records.(A lien is a priority legal and economic right that is created when a client fails to pay agreed-upon fees.) This lien customarily entitles an accountant to retain possession of client records until outstanding fees are paid in full.When such a lien right arises,the AICPA Code of Professional Conduct states that:

• A) State law is given priority over the CPA profession's rules of ethical conduct
• B) The CPA profession's rules of ethical conduct are given priority over state law
• C) The CPA is allowed to select the set of rules that are most favorable to the CPA
• D) The CPA is obligated to abide by the set of rules that is most favorable to the client