What does the term “conflict of interest” refer to?

The term "conflict of interest" specifically refers to a situation where personal interests could influence professional actions. This can occur when an individual's personal, financial, or other interests have the potential to interfere with their duty to act in the best interests of their professional responsibilities. In such cases, there is a risk that personal motivations could compromise the integrity of decisions or judgments made in a professional context.

Understanding this concept is essential because conflicts of interest can undermine trust and integrity in professional settings. It highlights the importance of transparency and ethical guidelines in maintaining a clear distinction between personal interests and professional obligations. In contrast, scenarios where interests align with professional responsibilities might not present an ethical dilemma, and interactions that lead to improved outcomes or dispute resolution processes are fundamentally unrelated to the definition of conflict of interest.