A predecessor auditor is an auditor who conducted the audit for a client in prior periods, but who no longer does so. This situation arises in any of the following circumstances:
- The client has notified the auditor that his or her contract will not be renewed for future audits.
- The auditor has resigned from the engagement.
- The auditor has declined to return for the next audit.
- The auditor did not complete the prior audit engagement.
When a successor auditor is appointed to an audit engagement, the successor may need to communicate with the predecessor auditor regarding various issues that are then incorporated into the successor's audit.