Facts:
Conflict of Interest—Engineer Spouse as Sales Representative
Engineer A is an employee for Firm X. Engineer A purchases office computer software from Company Y, which employs Engineer A’s spouse as its sales representative, and Engineer A’s spouse handles the transaction. After an internal complaint is filed within Firm X regarding nepotism/favoritism, Firm X determines that the prices from Company Y are within market pricing range and that the office computer software products meet Firm X’s needs.
Questions:
a. Was it ethical for Engineer A to fail to disclose that Engineer A’s spouse was a sales representative with Company Y?
b. Was it unethical for Engineer A to have entered into a contract with Company Y?