TheAICP Code of Ethics(2022), Section B, Rule 5, states, “We shall not fail to disclose a conflict of interest,” and Section A, Principle 2(b), emphasizes avoiding “even the appearance of improper influence.” The planner’s awareness of the director’s relationship with the lawyer suggests a potential conflict of interest, which must be disclosed to maintain transparency. Option D (point out the need to disclose the relationship) is the most ethical action, as it addresses the issue directly with the director, encouraging compliance with the Code. Option A (do nothing) ignores the potential conflict. Option B (subtle hint) is unprofessional and indirect.Option C (report to the mayor or chair) escalates prematurely without first addressing the director. TheCPC Study Manual(2024) states, “Planners should remind colleagues of the need to disclose conflicts of interest to avoid the appearance of impropriety,” supporting option D.