801-030-0020 Other Responsibilities and Practices (1) Professional misconduct . (a) A licensee shall not commit any act or engage in any conduct that reflects adversely on the licensee's fitness to practice public accountancy. (b) Professional misconduct may be established by reference to acts or conduct that would cause a reasonable person to have substantial doubts about the individual's honesty, fairness and respect for the rights of others or for the laws of the state and the Nation. The acts or conduct in question must be rationally connected to the person's fitness to practice public accountancy. (c) A licensee shall not act in a way that would cause the licensee to be disciplined for violation of laws or rules on ethics by a federal or state agency or by any jurisdiction for the practice of public accountancy. (d) Professional Misconduct may be established by violation of a disciplinary order by a federal or state agency or by any jurisdiction for the practice of public accountancy. (e) Professional Misconduct may be established by failure to comply with any settlement agreement issued by the Board. (f) A licensee shall not engage in acts of gross negligence including, but not limited to: (A) Failure to disclose a known material fact which is not disclosed in the financial statements, but disclosure of which is necessary to make the financial statements complete or not misleading, or (B) Failure to report any known material misstatement which appears in the financial statements. (2) False or Misleading Statements on any Board Application . By signing any Board application, the Candidate, Applicant, Licensee or Registered Firm certifies to the truth and accuracy of all statements provided on application and supplemental documents. False or misleading statements or supplementary documents shall be a violation. (3) Reporting requirements. (a) Licensee must notify the Board within 45 days of: (A) Resolution of any civil action against a licensee that relates to professional services and business operations involving an Oregon licensee or Oregon clients; (B) Initiation of any regulatory action against the licensee; (C) Resolution of any regulatory action against the licensee; (D) Any inquiry into the licensees conduct through a professional organization; or (E) Resolution of any professional organization inquiry. (b) Licensees must notify the Board within 10 days of: (A) Initiation of any criminal investigation against the licensee; or (B) Resolution of any criminal investigation against the licensee. (c) Firm must notify the Board within 45 days of : (A) Resolution of any civil action against the Firm that relates to professional services, business operations or practices of the registered firm in Oregon; (B) Resolution of any civil action against any Oregon licensee affiliated with the firm that relates to professional services, business operations or practices of the registered firm in Oregon; (C) Initiation of any regulatory action against the firm; (D) Resolution of any regulatory action against the firm; (E) Initiation of any regulatory action against any Oregon licensee affiliated with the firm; (F) Resolution of any regulatory action against any Oregon licensee affiliated with the firm; (G) Any inquiry into an Oregon firms conduct through a professional organization; or (H) Resolution of any inquiry of an Oregon firm from a professional organization. (d) Firm must notify the Board within 10 days of : (A) Initiation of any criminal investigation against the Firm; (B) Resolution of any criminal investigation against the Firm; or (C) Initiation of any criminal investigation against any of the following individuals affiliated with the firm: (i) Oregon licensee (ii) Oregon Partner (iii) Oregon Owner (e) Licensees and Firms must provide the following information to the Board when reporting any of the events above: (A) Name of the regulatory agency, court or professional organization; (B) Title of matter; (C) Docket number if applicable; (D) Date of occurrence of the event; (E) Name of any legal representatives involved; (F) Statement of the facts; and (G) Copies of relevant documents, including but not limited to, regulatory notice, civil complaint, criminal charging document, and any settlement documents. (f) The reporting requirements set forth in this rule may not be not negated by the terms of a non-disclosure agreement or court protective order. (g) The notices required by this rule shall be signed by the person or persons against whom the regulatory action, civil action and/or criminal investigation or action is raised. If the regulatory action, civil action, or criminal investigation or action is against a registered firm only, the notice(s) must be signed by an authorized Oregon partner or owner of the firm. (4) Verification of experience for CPA or PA applicants . Licensees who supervise the work experience of CPA or PA applicants for the purpose of verifying the applicant's eligibility under ORS 673.040 shall provide to the Board an accurate and complete certificate of experience for the applicant. Licensees who provide any certificate of experience for an applicant shall not: (a) Make any false or misleading statement as to material matters in any certificate of experience, or (b) Commit any act that would unjustly jeopardize an applicant’s ability to obtain a certificate in this or any other jurisdiction. (5) Acting through others. (a) A licensee shall not permit others to perform any acts on behalf of the licensee, either with or without compensation, which, if performed by the licensee would place the licensee in violation of the Code of Professional Conduct. (b) A licensee shall not ratify, endorse, facilitate, solicit, plan or otherwise assist another licensee to violate any Board law or rule. (c) A licensee is bound by the Board laws and rules notwithstanding that the licensee acted at the direction of another person. A subordinate licensee does not violate this rule if the licensee acts in accordance with a supervisory licensee’s reasonable resolution of an arguable question of professional duty. (6) Public communications and advertising . A licensee shall not use or participate in the use of any form of public communication, including the use of internet domains, e-mail names, advertising or solicitation by direct personal communication, having reference to the licensee's professional services that contains a false, fraudulent, misleading, or deceptive statement or claim. A false, fraudulent, misleading, or deceptive statement or claim includes, but is not limited to, a statement or claim that: (a) Includes a misrepresentation of fact; (b) Is intended or likely to mislead or deceive because it fails to disclose relevant facts; (c) Is intended or likely to create false or unjustified expectations of favorable results; (d) Falsely states or implies educational or professional attainments or licensing recognition; (e) Falsely states or implies that the licensee has received formal recognition as a specialist in any aspect of the practice of public accountancy; (f) Falsely represents that professional services can or will be competently performed for a stated fee, or misrepresents fees for professional services by failing to disclose all variables affecting the fees that will in fact be charged; or (g) Contains other representations or implications of fact that would cause a reasonable person to misunderstand or be deceived. (7) Professional designations. A licensee shall not represent that the licensee is a member of any professional society, association, organization or an association of firms, or that the licensee has a correspondent relationship with another licensee unless the representation is true at the time it is made or published. (8) Board communications and investigations. (a) Communications from the Board to licensees shall be sent by first class mail or certified mail and addressed to the licensee at the last official address or the alternate address furnished to the Board by the licensee. (b) Licensees who receive any Board communication requesting the licensee to provide a written response shall: (A) Provide a written response to the Board within 21 days of the date the Board communication was mailed; and (B) Respond fully and truthfully to inquiries from and comply with all Board requests. (c) The Board of Accountancy shall provide written notice to licensees of complaints filed against the licensee and of any Board investigation that affects the licensee. Licensees who receive notice of a complaint investigation: (A) Shall cooperate fully with all Board investigations, including any request to appear to answer questions concerning such investigations; and (B) Shall not engage in any conduct or activity that would hinder or obstruct a Board investigation. (9) Business transactions with clients . (a) Except for business transactions that occur in the ordinary course of business, licensees shall not enter into a business transaction with a client if the licensee and client have differing interests therein unless the client has consented in writing to the transaction after receiving full written disclosure of the differing interests from the licensee. Both written disclosure and client’s written consent shall be made prior to the time the business transaction is accepted. (b) A loan transaction between a licensee and a client does not require disclosure under this rule if the client is in the business of making loans of the type obtained by the licensee and the loan terms are not more favorable than loans extended to other persons of similar credit worthiness and the transaction is not prohibited by other professional standards. (10) Notification of change of address, employer or assumed business name . Licensees are required to maintain a current record with the Board of the information described in this rule, and to provide written notice to the Board of any change in such information within 30 days of such change. Written notice required under this rule may be provided by US mail, private delivery service, fax transmittal, e-mail or personal delivery. The information required under this rule will not be accepted over the telephone: (a) Licensee's current business and residential addresses. If the number of a post office box, mail drop or pick-up service is provided for either address, the licensee must also provide the physical address; (b) The name and address of licensee's current employer; and (c) Any assumed business name used by licensee, if licensee is conducting the practice of public accountancy under an assumed business name. (11) Child support defaults . In accordance with ORS 25.750 to 25.783, the Board shall provide the Support Enforcement Division of the Department of Justice with certification and licensing information which may be electronically cross-matched with Support Enforcement Division's records for persons under order of judgment to pay monthly child support and who are in arrears according to 25.750(a), (b) and/or (c). (a) The Board shall suspend a licensee's certificate or license and permit to practice upon notice from the Support Enforcement Division or the appropriate District Attorney that such licensee is in arrears of any judgment or order requiring the payment of child support and such payment is being enforced under the provisions of ORS 25.080. (b) Pursuant to ORS 25.762 or 25.765, the Board shall notify the licensee of the action being taken and refer such licensee to the Support Enforcement Division or the District Attorney for resolution of the support payment issue. (c) Upon notification by the Support Enforcement Division or District Attorney and receipt of a release notice that the conditions resulting in the action have been resolved, the Board shall reinstate the licensee's certificate or license and permit to practice upon compliance with any additional requirements for issuance, renewal or reinstatement. (12) State tax defaults. In accordance with ORS 305.385, and upon request by the Department of Revenue (DOR), the Board shall provide DOR with license information for the purpose of determining whether a licensee has neglected or refused to file any tax return, or neglected or refused to pay any tax without filing a petition with DOR as stated in ORS 305.385(4)(a). (a) The Board shall issue a notice of proposed action against a licensee who is identified by DOR under this rule. The licensee shall be provided with the opportunity for hearing as provided in ORS 183.310 to 183.550 for contested cases. (b) Upon notification by DOR and receipt of a certificate issued by DOR that the certificate/license holder is in good standing with respect to any returns due and taxes payable to DOR as of the date of the certificate, the Board shall renew or reinstate the certificate or license and permit to practice upon compliance with any additional requirements of the Board for issuance, renewal, or reinstatement. (13) Continuing violation . A continuing violation is a violation of any provision of ORS 673.010 – 673.457 or OAR chapter 801 that remains in place (“continues”) without additional conduct on the part of the violator. For example the continued existence of an office sign purporting to offer public accounting services by an unregistered firm would be a continuing violation. The Board shall provide written notice of the alleged continuing violation to the individual or firm. The duration of the violation prior to the date of notice from the Board shall be deemed a single violation, and each day of continuance after the date of notice from the Board is a separate violation and may be subject to a civil penalty. (14) Non-Disclosure Agreement. “Non-disclosure agreement” means any written or oral agreement that inhibits any party to the agreement from reporting an alleged violation of ORS Chapter 673 or OAR chapter 801 to the Board, or that inhibits any party from cooperating with an investigation by the Board, an agency of any state, or an agency of the Federal government. (a) Licensees shall not enter into, nor benefit directly or indirectly from, any non-disclosure agreement. (b) Any licensee who is a party to a non-disclosure agreement and who receives written notice from the Board, an agency of any state, or an agency of the Federal government requesting information that is subject to the provisions of such non-disclosure agreement, shall provide a written release for information requested within 30 days of the date of notice. (15) Peer Review Failure . Upon notification to the Board that a licensee or registrant has failed peer review more than one time, the Board may discipline the licensee or registrant for failing peer review in accordance with ORS 673.170. The notification of the failure of peer review will be prima facie evidence of the failure. Statutory/Other Authority: ORS 673.410 Statutes/Other Implemented: ORS 673.160 & 673.410 History: BOA 1-2026, amend filed 01/29/2026, effective 02/01/2026 BOA 1-2019, amend filed 12/19/2019, effective 01/01/2020 BOA 3-2017, f. & cert. ef. 9-11-17 BOA 2-2017, f. & cert. ef. 8-8-17 BOA 1-2017, f. & cert. ef. 1-4-17 BOA 2-2014, f. 12-15-14, cert. ef. 1-8-15 BOA 5-2009, f. 12-15-09 cert. ef. 1-1-10 BOA 3-2008, f. 12-30-08, cert. ef. 1-1-09 BOA 3-2007, f. 12-27-07 cert. ef. 1-1-08 BOA 3-2006, f. 12-22-06, cert. ef. 1-1-07 BOA 9-2005, f. 11-22-05, cert. ef. 1-1-06 BOA 4-2005, f. & cert. ef. 8-12-05 BOA 6-2003, f. 12-23-03 cert. ef. 1-1-04 BOA 5-2002, f. 12-27-02, cert. ef. 1-1-03 BOA 5-2001, f. 12-28-01, cert. ef. 1-1-02 BOA 6-1999, f. 12-21-99, cert. ef. 1-1-00 BOA 5-1999, f. & cert. ef. 7-23-99 BOA 1-1999, f. & cert. ef. 1-20-99 BOA 6-1998, f. & cert. ef. 7-29-98 AB 3-1996, f. & cert. ef. 9-25-96 AB 4-1994, f. & cert. ef. 9-27-94 AB 3-1994, f. & cert. ef. 8-10-94 AB 1-1994, f. & cert. ef. 1-21-94 AB 6-1993(Temp), f. 11-2-93, cert. ef. 11-4-93 AB 3-1989, f. & cert. ef. 10-3-89 1AB 3-1986, f. & ef. 11-17-86 1AB 2-1984, f. & ef. 5-21-84 1AB 3-1981, f. & ef. 1-6-81 1AB 1-1981, f. 1-6-81, ef. 6-1-81 AB 1-1978, f. & ef. 1-11-78