What is one consequence of errors and omissions in agency performance?

Errors and omissions in agency performance often lead to significant financial consequences or legal claims. When an agency fails to meet its obligations or makes mistakes in the services it provides, clients may suffer losses, which can result in them seeking compensation. This not only creates financial liability for the agency but also can lead to legal claims from clients who feel wronged by the agency's performance.

Additionally, these types of errors can damage the trust and credibility that the agency holds with its clients, potentially resulting in further business losses and a tarnished reputation. In contrast to options that imply positive outcomes—like increased employee morale, enhanced brand reputation, or operational efficiency—errors and omissions generally lead to negative ramifications in a business context.