Do accountants need liability protection?

Accounting firms have been on the hot seat for years. Their failures in some ways led to Sarbanes-Oxley, but the truth is that they have really prospered in the Sarbox era. All those mandated audits are more complex and pressure-packed than ever--and the billing is good, great in fact. But we're down to a Big Four, and that concerns some. SEC Chief Accountant Conrad Hewitt says that the Big Four should ask Congress for more protection from lawsuits in the face of corporate meltdowns. This has been the trend in Europe. One approach would be to do massive surgery to Section 404. Hewitt did say recently that the new PCAOB's guidance should help--many remain skeptical, however. If they are granted reduced liability, the industry's comeback will be complete. The burden will mount for other possible "culprits," notably CFOs.

For more:
- here's a Forbes article