Under what circumstances may a CFP certificant disclose client information to a third party?

Under what circumstances may a CFP certificant disclose client information to a third party?

• A. Only with written consent of the client and not otherwise
• B. Only when required by law or with client consent
• C. Never under any circumstances
• D. Only to immediate family

Answer: (B)

Confidentiality of client information is fundamental in CFP ethics. A certificant may disclose information to a third party only when the client has given consent or when disclosure is required by law. Written consent creates a clear record and is best practice, but there are legal obligations—such as subpoenas or regulatory demands—that require disclosure even without client consent. Disclosing to immediate family isn’t a blanket exception, and saying disclosure never occurs ignores legitimate legal duties. So the correct stance is that disclosure is allowed only with client consent or when legally required.

Confidentiality of client information is fundamental in CFP ethics. A certificant may disclose information to a third party only when the client has given consent or when disclosure is required by law. Written consent creates a clear record and is best practice, but there are legal obligations—such as subpoenas or regulatory demands—that require disclosure even without client consent. Disclosing to immediate family isn’t a blanket exception, and saying disclosure never occurs ignores legitimate legal duties. So the correct stance is that disclosure is allowed only with client consent or when legally required.