You can create a conflict of interest clause yourself that you can use in an employment or professional contract. You can also work with a lawyer or get help from an online service provider. A conflict of interest clause can protect your business and help ensure that your company`s interests are at the centre of the concerns of those who work for you. A conflict of interest arises whenever there is a conflict of loyalty for anyone within an organization or for anyone working for an organization. There could be a conflict of interest within the company if Garvey is promoted, so he is now his wife`s supervisor. He has allegiances to both the company and his wife, so he cannot function without conflict in the role. A financial conflict of interest is also common. If Annalise is a board member of a private high school – but she also owns a company that prints textbooks – she has a conflict of interest because she would see a financial gain if she influenced the school to buy her textbooks. A conflict of interest may result from a paid or unpaid situation and may also arise from the position of a family member; z.B. if your wife works for a competing company. The clause may also include the obligation that when the worker or self-employed person receives a conflict of interest offer, it must be communicated to the company. Some conflict-of-interest statements also make receiving a gift or favours from a competitor, supplier or customer a conflict of interest. Because a conflict of interest can be detrimental to the business, most employment, self-service and advisory contracts contain a conflict of interest clause.
This clause says that a conflict of interest does not always stop everything. If a conflict of interest is disclosed in advance, both parties can sign a conflict of interest waiver that clearly indicates the conflict and shows that the company is fully aware of it and is willing to cooperate with the employee or freelancer. If Lin, for example, does freelance design and works for Ted`s bicycle store designing stickers that are on the wheels, and Mika`s bike shop wants to hire him to create a new sign for his shop, a conflict of interest would indicate that Mika knows that Lin also works for Ted and that Mika agrees with that.