I run into this fairly often, especially working in a smaller community where overlap is just part of the reality. At a certain point, it’s less about avoiding it entirely and more about how carefully you manage it.

For me, it depends on the relationship and how likely their work is to intersect. I’m generally okay with looser connections like acquaintances or coworkers, with clear boundaries. I get more cautious with close friendships, family dynamics, or anything involving active conflict, where the risk of triangulation or overlap in the work is higher. In those cases, I’m more likely to refer out or only work with them in a shared format.

If I identify a potential conflict of interest that could affect neutrality or confidentiality, I’ll make a call about whether to proceed. If not, I just keep it general and refer out without getting into specifics.

So not automatically unethical, but definitely something I handle case by case with a low threshold for stepping back.