Recognising a conflict of interest
A conflict of interest exists where you have two different interests that are both relevant to the same decision or issue. In other words, a particular matter comes before you for decision in one capacity (for example as a funder), and you have some other separate interest or duty in the matter. That other interest or duty might exist, for example, because of:
- a role that you have in another organisation affected by the decision, or
- the potential for the decision to affect you personally, or
- the potential effect of the decision on a close family member.
In legal terms, conflicts of interest of this kind are a subset of the common law about bias. The law about bias exists to ensure that people with the power to make decisions affecting the rights and obligations of others carry out their duties fairly and only take account of appropriate considerations.
Another important part of the law on bias is the question of predetermination. That is, the risk that you are seen to have made up your mind in advance, so that you cannot consider the information being put to you with an open mind. This risk can arise if you have made strong public statements on an issue in the past, or have been involved in public campaigning. Often, this lobbying type of activity will be incompatible with your role as a decision-maker.
The law of bias can be summed up in the saying ’no one may be judge in their own cause‘. One way of expressing the issue is: Would a reasonable, informed observer think that your impartiality might have been affected? If the answer is ‘yes’, then it might be sensible to stand aside.
