A conflict of interest (COI) occurs when a person has a duty to more than one person or entity at the same time, but more than one duty could benefit the same interest or lead to a decision that is not in the best interest of all parties. Conflicts of interest can exist in both personal and professional contexts and can sometimes be difficult to identify. Some of the most common types of conflicts of interest are self-dealing, abusing privileged information, and bribery.

Self-Dealing

Self-dealing is a type of conflict of interest in which a person uses their authority or position to gain an advantage for themselves. Examples of self-dealing include a company executive making decisions that benefit their own financial interests instead of the company’s, or a doctor prescribing medicine to their own family members. Self-dealing is not always illegal, but it can be unethical if it violates accepted standards of conduct.

Abusing Privileged Information

Another type of conflict of interest is abusing privileged information. This occurs when an individual uses information they have been given in confidence to benefit themselves or someone else. For instance, an employee may use confidential information to trade stocks in a company, a doctor may refer patients to their own practice, or a lawyer may use privileged information to give legal advice to another person.

Bribery

Bribery is a type of conflict of interest in which someone offers money or some other form of compensation in order to influence a decision or outcome. Bribery is illegal in many countries and is considered a serious offense. Bribery can range from small payments to larger gifts such as vacations or other luxury items.

In summary, conflicts of interest can exist in both personal and professional contexts and are not always easy to identify. Common types of conflicts of interest include self-dealing, abusing privileged information, and bribery. It is important to understand the risks associated with conflicts of interest and to adhere to ethical standards when making decisions.