PCAOB concept release.

• Position: Brief article

Auditor Independence and Audit Firm Rotation

The Public Company Accounting Oversight Board has issued a concept release to solicit public comment on ways that auditor independence, objectivity and professional skepticism can be enhanced, including through mandatory rotation of audit firms.

Comments are due Dec. 14.

The concept release notes that proponents of rotation believe that setting a term limit on the audit relationship could free the auditor, to a significant degree, from the effects of client pressure and offer an opportunity for a fresh look...