Purpose
The purpose of this policy is to establish a standard of conduct to protect the financial well-being, reputation, and legal obligations of the University, as well as establish a method to protect the university community from questionable circumstances that might arise and to resolve any apparent or real conflicts of interests.
Policy
The university expects its employees to conduct business according to the highest ethical standards of conduct. Employees are expected to devote their best efforts to the interests of the university. Business dealings that create or appear to create a conflict between the interests of the university and an employee are unacceptable. The university recognizes the right of employees to engage in activities outside of their employment which are of a private nature and unrelated to our business. Additionally, employees are discouraged from soliciting business from or selling services to donors, students, alumni, other employees of the institution, or any other party whose relationship was formed as a result of their employment at the university. Although certain specific examples of conflicts of interest are provided below, they are meant only as illustrations, and supervisors and employees are expected to use good judgment to identify possible conflicts of interest and to manage such so as not to adversely influence Lynn University operations.
The following represent areas where conflicts of interest may arise:
- The employee has a personal, financial, professional, or other interest which could affect business judgment;
- The employee gains personal enrichment through access to the university’s confidential information or data;
- The employee accepts outside employment that adversely affects work performance for the university;
- The employee has a direct or indirect personal or financial interest in any supplier, partner, or competitor of the university;
- The employee accepts gifts of more than nominal value from any individual or business who does business, or seeks to do business, with Lynn University.
In addition, Lynn University faculty must be aware of the following faculty-specific activities that may give rise to an allegation of a conflict of interest:
- Teaching, supervising and/or participating in decisions affecting an immediate family member;
- Casting a vote in committee deliberations regarding proposals or actions which lead to a direct personal benefit, as in awarding faculty development funds;
- Accepting remuneration for consulting services or conducting clinics while representing the University in an official capacity;
- Making personal use of university resources and facilities for the production of copyrightable or patentable materials;
- Using students, without recompense of salary or academic credit, for work on behalf of an outside agency;
- Using the university’s name, facilities, or equipment for personal purposes, or for which the faculty member receives remuneration for private gain;
- Making personal use of university resources to support political candidates or non-profit organizations even though not for remuneration;
- Purchasing major equipment, instruments, or supplies for university teaching or research from a private firm with which the employee is affiliated or receives personal benefits or rewards.
The university reserves the right to determine when an activity conflicts with the university's interests and to take whatever action is necessary to resolve the conflict of interest.
Participation in an actual conflict of interest or failing to voluntarily disclose a potential conflict of interest to the university by an employee will be grounds for corrective action up to and including termination of employment in accordance with established procedures.
Note: nothing in this policy shall be construed to permit, even with disclosure, any activity that is prohibited by law.
Definitions
Conflict of interest–any circumstance in which the personal, professional, financial, or other interests of an employee may potentially or actually diverge from, or may be reasonably perceived as potentially or actually diverging from, his or her obligations to the university and the interests of the university. It includes indirect conflicts, such as benefits provided to a relative of an employee.
Relative–two or more members of the same family. For example, a spouse, domestic partner, children, step-children, parents, step-parents, siblings, in-laws, cousins, uncles, aunts, nieces, nephews, grandchild, grandparent, or any other related person or non-related person who is part of the employee’s household, or someone whose relationship with the employee is similar to that of a relationship described herein.
Procedures/Guidelines
Employees have a duty to disclose on an ongoing basis any current, proposed, or pending situations that may constitute a conflict of interest, as well as all material facts relating to any conflict of interest as soon as the existence of a possible conflict of interest is known to his or her supervisor. Prior to approving an actual conflict of interest, the supervisor must consult with the applicable area vice president. In the alternative, the reporting procedures set forth in the university’s whistleblower policy may be utilized.
In addition to disclosing potential situations that may constitute a conflict of interest on an ongoing basis, on an annual basis, employees will be required to disclose existing conflicts of interest or commitment through a form distributed by the Office of Compliance. Disclosures of potential conflicts of interest or commitment will be reviewed by appropriate administrators based upon the nature of the potential conflict. Administrators responsible for reviewing and mitigating potential conflicts could include the supervisor, applicable area Vice President, University Compliance Officer, Assistant Vice President of Employee Services, Director of Procurement, Chief Financial Officer and Treasurer, General Counsel, and where appropriate, the President. Appropriate administrators will determine whether the activity or interest disclosed will compromise, or reasonably appear to compromise, the individual’s actions or decisions on behalf of the university. If so, strategies shall be developed to manage or eliminate the conflicts of interest. As appropriate, the Office of Compliance and General Counsel will annually update the chair of the Board of Trustees Audit Committee regarding any material conflicts disclosed and how they were managed.
The university, as a general rule, does not enter into purchasing contracts with students, faculty and staff or members of their immediate families or household. Acquisitions from a business in which an employee has an interest is prohibited unless full disclosure of the background facts are presented in writing to the Procurement Department. Interest is deemed present if the employee and/or their spouse, non-emancipated minor children, or member of the employee’s immediate household own ten percent or more of the assets of a business.
The only exception to this policy is in situations where there is positive proof that the employee will not benefit either monetarily, or by any other means, and the university will benefit as a result of the transaction.
To learn more about this policy or the supporting procedures, please contact Employee Services.