Avoiding Conflicts of Interest in Special Situations

These are special situations where an activity may be a conflict regardless of the University employee's classification or the value of the employee's outside interest.

I. Assignment of Faculty-Authored Educational Materials to Students

Senate Policy: Educational Materials Conflict of Interest addresses this situation:
"No member of the instructional staff of the University shall personally profit from the assignment of materials, or assignment of the venue of purchase of materials, to students in classes or any other instructional setting at the University without proper administrative approval."

Although Minnesota state regulations specify that course material authored by University instructional staff may be used in courses without creating a conflict of interest (Minnesota Statute 15.43), the Senate policy states that "every academic unit should ensure that instructional materials are selected on their academic merit and also ensure that there is no significant conflict of interest or appearance of conflict of interest in the selection of such materials. It is entirely appropriate for a faculty member/instructor to assign materials that he or she has written: they may be the most appropriate materials for that class and instructor. This policy provides only that the individual should not personally profit from the assignment of such materials without appropriate departmental approval." Appropriate department approval may consist of a memo or email to head of the academic unit or designee written in advance of the beginning of the course explaining the choice of materials and asking for approval. A copy of this approval should be retained for documentation.

The policy also notes that "many faculty find it appropriate to donate an amount similar to the royalties generated by the usage of their own students back to the department, college or the University for purposes that support student learning."

No employee in direct contact with suppliers or potential suppliers to the University, or who has direct or indirect influence over purchasing decisions or contracts, or otherwise has official involvement in the purchasing or contracting process may:

1. have any financial, business, or personal interest directly or indirectly in contracts or purchases of goods or services used by the University; or
2. accept, directly or indirectly from a person or business to which a contract or purchase of goods or services has been or may be awarded, any gift as defined in Board of Regents Policy: Gifts Received and Given by Regents and University Officials. No employee may further accept any promise, obligation, or contract for future award. See Minnesota State Statute 15.43.

III. Disclosure of Nonpublic Research Information in Violation of Insider Trading Laws

Individuals who have access to preliminary nonpublic research results related to clinical trials or other research with potential commercial value may be considered insiders for purposes of federal insider trading laws if the research is sponsored by companies with publicly traded stock. Until the research is completed and the results become publicly available, University employees covered by this policy may not use nonpublic research information to buy or sell stock and may not disclose this information to investment companies or other third parties for personal gain.