Description: Divorce can be complicated enough. But throw in major business interests involving both partners and divorce can expand to include major issues of corporate governance, strategy, and costing. These issues have come to the fore in Ottawa recently, where Brian McGarry wants his ex-wife Sharon McGarry removed from the board of Wakefield Crematorium, alleging she is using her role as president of a prominent Ottawa area funeral business to negatively impact the Crematorium’s operations.
Source: Ottawa Citizen.com
Date: October 11, 2014
Questions for Discussion:
1) Accountants can be called upon to provide consulting advice in family law disputes. From reading this article, what issues do you think an accountant would be qualified to address in such a situation? Explain.
2) What strategies can a family-owned corporation put in place to help protect against disputes of this type?
3) The article mentions that Mr. McGarry is seeking the appointment of an auditor for the “Wakefield Crematorium’s books”. What might be some of the audit risks that an auditor would have to consider in planning for this engagement?