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Professional Negligence - From: 1997 To: 1997

This page lists 81 cases, and was prepared on 02 April 2018.

 
Wisniewski v Central Manchester Health Authority [1997] PIQR 324; [1998] Lloyds Rep Med 223
1997
CA
Brooke LJ
Professional Negligence, Evidence
The court considered the effect of a party failing to bring evidence in support of its case, as regards the court drawing inferences: "(1) In certain circumstances a court may be entitled to draw adverse inferences from the absence or silence of a witness who might be expected to have material evidence to give on an issue in an action. (2) If a court is willing to draw such inferences they may go to strengthen the evidence adduced on that issue by the other party or to weaken the evidence, if any, adduced by the party who might reasonably have been expected to call the witness. (3) There must, however, have been some evidence, however weak, adduced by the former on the matter in question before the court is entitled to draw the desired inference: in other words, there must be a case to answer on that issue. (4) If the reason for the witness's absence or silence satisfies the court then no such adverse inference may be drawn. If, on the other hand, there is some credible explanation given, even if it is not wholly satisfactory, the potentially detrimental effect of his/her absence or silence may be reduced or nullified."
1 Cites

1 Citers


 
Legal and General Mortgage Services v HPC Professional Services [1997] PNLR 567
1997

Judge Langan QC
Professional Negligence
The claimant submitted that he was entitled to succeed in his claim gthat a valuation was negligent, either by showing that the valuer’s final figure was outside the bracket within which any competent valuer using reasonable skill and care could have valued the property ("the result route"), or that by failing to exercise such skill and care he valued the property at an incorrect figure, albeit a figure within the appropriate bracket ("the method route"). Held: When looking at a property valuation to see if it was negligently prepared the court first asks whether the result was within the proper range of valuation results. Then once it is shown that the valuation falls outside the "bracket" the plaintiff will by that stage have discharged an evidential burden. It will be for the defendant to show that, notwithstanding that the valuation is outside the range within which careful and competent valuers may reasonably differ, he nonetheless exercised the degree of care and skill which was appropriate in the circumstances.
1 Citers


 
Markes v Coodes [1997] PNLQ 252
1997


Limitation, Professional Negligence

Limitation Act 1980 32
1 Citers


 
Hurlingham Estates Ltd v Wilde and Partners (A Firm) Times, 03 January 1997
3 Jan 1997
ChD

Professional Negligence
A solicitor should confirm in writing if his advice is to be limited as to his own tax competence.

 
Peach Publishing Limited v Slater and Co (a Firm) [1997] EWCA Civ 769
14 Jan 1997
CA
Lord Justice Nourse Mr. Justice Cazalet
Professional Negligence, Costs
The respondent sought security for costs against an appeal by the plaintiff company. Held: Substantial sums had been paid into court, and which could be treated as money belonging to the plaintiff. Accordingly there was no need for any security for costs.
[ Bailii ]
 
Scriven v Davies Arnold Cooper Inc Morris Ruben Clare; Beryl Margaret Scriven and Sonia Gal [1996] EWCA Civ 1257; [1997] EWCA Civ 788
16 Jan 1997
CA

Professional Negligence

[ Bailii ] - [ Bailii ]
 
John Edward Harris v Nantes and Wylde (a Firm) [1997] EWCA Civ 885
30 Jan 1997
CA

Professional Negligence

[ Bailii ]
 
Peter Alfred Jackson Barbara Florence Mary Jackson v Ford Gunningham (a Firm) [1997] EWCA Civ 920
4 Feb 1997
CA

Professional Negligence, Damages

[ Bailii ]
 
Mcfarlane v Wilkinson and Guggenheim; Hegarty v E E Caledonia Limited Times, 13 February 1997; [1997] EWCA Civ 934
5 Feb 1997
CA

Professional Negligence, Personal Injury
The exclusion of weak but merely arguable heads from pleadings was not negligent.
[ Bailii ]
 
Linda Finnegan v Parkside Health Authority [1997] EWCA Civ 950
6 Feb 1997
CA

Professional Negligence
Application for leave to appeal against strike out of damages claim. Held: There was a perceived conflict between the authorities in Costellow and Savill. Leave ought to be granted.
1 Cites

1 Citers

[ Bailii ]
 
Bank of Credit and Commerce International (Overseas) Ltd v Price Waterhouse Times, 10 February 1997
7 Feb 1997
ChD
Laddie J
Professional Negligence
No duty of care was owed by accountants who were not auditors to lenders to the company audited. The claim was struck out.
1 Cites

1 Citers


 
Tabarrok v E D C Lord and Co (A Firm) Times, 14 February 1997; [1997] EWCA Civ 951
14 Feb 1997
CA
Hirst LJ, Aldous LJ, Schiemann LJ
Limitation, Professional Negligence
The appellant wanted to open a pizza restaurant. He and his partners acquired a company for the purpose, which was to take a lease of premises. They sought advice from the defendants who, they said, failed to advise them of the need to be aware of dilapidations and the risks of entering into possession before the lease was formally executed. Held: The appeal was dismissed. When the claimant executed the guarantee he knew already of the risk of liability for dilapidations. The limitation period runs from when damage arises, in this case from the giving of the negligent advice to sign a guarantee. The requested addition of the new party did not arise from an earlier mistake but from the assignment to the plaintiff. The amendment should not be allowed.
Aldous LJ said: "Negligent advice which results in a person giving a security by way of a charge over property or a guarantee can cause damage even before the surety is called in or before the person comes to have to honour the guarantee. That can be demonstrated by taking a case which arose in argument, when a company guarantees the loans of another company. That guarantee would have to be disclosed in the company's accounts as it would be a liability affecting the value of the shares. If the guarantee was entered into upon negligent advice, then the loans might well have to be paid and the guarantee honoured. Thus, the potential liability of the guarantor would be greater with consequent diminution of the value of the company. "
Schiemann LJ said: "A guarantor cannot be sued on the guarantee by the creditor until there has been default by the principal debtor. It does not follow that the guarantor has not got a right of action in tort against a solicitor who allegedly negligently advised him to enter into the guarantee prior to that time. He may prefer to wait and see whether he is in fact called upon to pay but, as it seems to me, he can sue his solicitor earlier. If he does the trial judge must do what he can to assess the chance of the surety being called upon to pay under the guarantee. If this is significant, then the judge will assess the damage on the basis of the degree of probability of the surety being held liable to pay a particular sum. "
1 Cites

[ Bailii ]

 
 Hartle v Messrs Laceys (a Firm); CA 28-Feb-1997 - [1997] EWCA Civ 1130; [1999] 1 PN 315; [1999] Lloyd's Rep PN 315; (2000) 16 Const LJ 44
 
Derek Buxton, Jennifer Lesley Buxton v Jefferies (A Firm) CA Civ 1146
4 Mar 1997
CA

Professional Negligence, Litigation Practice
The defendant firm of solicitors acted for the plaintiffs when they purchased land. The registered title showed that part of the land which appear to be within their curtilage, was registered to the neighbours. A writ was issued to claim damages for professional negligence, but was delayed pending the outcome of a claim for the possession of the land. After losing that claim, their claim against the solicitors was struck out for the delay. They appealed that striking out. They denied the delay was unreasonable, and that the defendants had been prejudiced by the delay. In this case the delay was so substantial (ten years), that prejudice to the defendant's ability to put their case was to be assumed.
[ Bailii ]
 
Hussain v Camden and Islington Health Authority [1997] EWCA Civ 1150
4 Mar 1997
CA

Professional Negligence, Costs

[ Bailii ]
 
Edwards v Newham Health Authority [1997] EWCA Civ 1156
4 Mar 1997
CA

Professional Negligence, Personal Injury

[ Bailii ]
 
Roy Allan Danns Isobel Danns v Department of Health [1997] EWCA Civ 1168
5 Mar 1997
CA

Professional Negligence

[ Bailii ]

 
 Spargo v North Essex District Health Authority; CA 13-Mar-1997 - (1997) 37 BMLR 99; [1997] EWCA Civ 1232; [1997] 8 Med LR 125; [1997] PIQR 235
 
Woodward v Wolferstans (A Firm) Times, 08 April 1997
20 Mar 1997
ChD
Mrs Martin Mann QC
Professional Negligence
The plaintiff purchased a house. Her mortgage was to be guaranteed by her father. The defendant solicitors acted for her and her father, but the father had almost exclusive contact with the firm, and was in practice their princpal client. She said that the solicitors had been negligent in faiing to advise her that she and not the guarantor would be liable as principle to make payments under the charge. Held: Her claim failed. Though the solicitor's duty of care extended beyond that to his immediate guarantor client to the person executing the mortgage also, and the solicitor had adopted the special relationship with the plaintiff so as to owe her a duty of care, his duty did not extend beyond securing proper execution of the deed, and the obtaining of a proper title. The solicitor's contract was with the father, and the contract could not be rewritten by the court to add duties to a third party.
1 Cites

1 Citers


 
Keith Trevor Barrett v London Borough of Enfield Times, 22 April 1997; [1999] 3 WLR 79; [1997] EWCA Civ 1330
25 Mar 1997
CA
The Master Of The Rolls (Lord Woolf) Lord Justice Evans Lord Justice Schiemann
Professional Negligence, Local Government, Vicarious Liability
A Local Authority is only vicariously liable for the negligence of a social worker to a child in care.
1 Cites

1 Citers


 
Reeman and Reeman v Department of Transport; West Marine Surveyors and Consultants and Richard Primrose Ltd [1997] EWCA Civ 1355; [1997] PNLR 618; [1997] 2 Lloyds Rep 648
26 Mar 1997
CA
Bingham LJ, Phillips LJ
Professional Negligence
The purchaser of a fishing boat had relied on an incorrect safety certificate in respect of the vessel. He sought to claim in negligence. Held: The object of the statutory scheme pursuant to which the certificate had been issued was to promote safety at sea and not to safeguard the economic interests of purchasers of the vessels. The court must consider the purpose of a statement, when deciding whether the maker of it owed a duty of care to a claimant, and it recognised the connection between the purpose of the statement and the transaction said to have resulted from reliance upon it. "The cases show that before a plaintiff can recover compensation for financial loss caused by negligent mis-statement his claim must meet a number of conditions. Among these are three particularly relevant here. The statement must be plaintiff-specific: that is, it must be given to the actual plaintiff or to a member of a group, identifiable at the time the statement is made, to which the actual plaintiff belongs. Secondly, the statement must be purpose-specific: the statement must be made for the very purpose for which the actual plaintiff has used it. Thirdly, and perhaps overlapping with the second condition, the statement must be transaction-specific: the statement must be made with reference to the very transaction into which the plaintiff has entered in reliance on it."
1 Citers

[ Bailii ]
 
Guardian Assurance Plc v Donoff [1997] EWCA Civ 1347
26 Mar 1997
CA

Professional Negligence, Litigation Practice

[ Bailii ]
 
Dragica Brick v Colleys Professional Services [1997] EWCA Civ 1398
15 Apr 1997
CA

Litigation Practice, Professional Negligence

[ Bailii ]
 
Anthony v Lawrence Dean Po Ba and Ors [1997] EWCA Civ 1423
17 Apr 1997
CA

Professional Negligence

[ Bailii ]
 
Saxby v Dr Morgan [1997] EWCA Civ 1473
22 Apr 1997
CA

Limitation, Professional Negligence

[ Bailii ]
 
Penn v Bristol and West Building Society and Others Times, 24 April 1997; [1997] 3 All ER 470; [1997] EWCA Civ 1416; [1997] 1 WLR 1356; [1997] PNLR 607
24 Apr 1997
CA
Staughton, Waite, Waller LJJ
Legal Professions, Professional Negligence
The solicitor innocently accepted instructions to sell a property, but was misled as to the identity of the wife - one of the joint owners. Unknown to him, however, Mr Penn had forged his wife's signature on the contract documents. He was sued by the lender to the buyer (who had also been involved in the fraud). Held: The Solicitor acting for vendor was to be held liable as having given a warranty that he was instructed by the true owners.
Waller LJ having said that the solicitor thought he was acting for the wife as well as the husband and, in all the pre-contract correspondence, negotiations and completion, held himself out as duly authorised by the husband and wife jointly, held that the building society had to establish that a promise had been made to it by the agent, to the effect that the agent had the authority of the principal, and that it had provided consideration by acting in reliance on that promise. He concluded that all the necessary ingredients were present for establishing a warranty by the solicitor in favour of the building society that the solicitor had the authority of Mrs Penn.
1 Cites

1 Citers

[ Bailii ]
 
Neil Johnson Limited v Roger Aa Caldwell [1997] EWCA Civ 1617
2 May 1997
CA

Construction, Professional Negligence

[ Bailii ]
 
Sharpe v Southend Health Authority and Another Times, 09 May 1997
9 May 1997
QBD

Professional Negligence
Expert witness may have himself acted differently, but should still indicate if defendant's action within range of proper actions.

 
June Mary Craven v Michael Glazer [1997] EWCA Civ 1744
21 May 1997
CA

Litigation Practice, Professional Negligence

[ Bailii ]
 
Dragica Brick v Basil Yoxall Dragica Brick v Aaronson and Company [1997] EWCA Civ 1779
4 Jun 1997
CA

Professional Negligence
Case settled by consent - counsel's alleged negligence - client pressured into consent.
[ Bailii ]
 
Cottrell v Thomas, Thomas, Sells (Trading As Tilbrook Hunt and Lock (a Firm) [1997] EWCA Civ 1787
4 Jun 1997
CA

Professional Negligence, Limitation

[ Bailii ]
 
Terence Francis Carvin v Dunham Brindley and Linn (a Firm) [1997] EWCA Civ 1801
5 Jun 1997
CA

Professional Negligence

[ Bailii ]
 
UCB Bank Plc v Halifax (SW) Limited (In Liquidation) Formerly Colley Sampson Limited (Trading As Hepper Robinson) and K A Ralphs [1997] EWCA Civ 1827
10 Jun 1997
CA

Litigation Practice, Professional Negligence

[ Bailii ]
 
Beresford v Whitehead and Howarth [1997] EWCA Civ 1834
11 Jun 1997
CA

Professional Negligence

[ Bailii ]
 
National Home Loans Corporation Plc v Giffen Couch and Archer (A Firm) Times, 09 October 1997; [1997] EWCA Civ 1893
18 Jun 1997
CA

Professional Negligence
A solicitor was not negligent for failing to pass on information about a client's credit worthiness in the absence of a specific request of the lender.
[ Bailii ]
 
Jacqueline Thurston v Coates Albutt Edmondson and Taylor [1997] EWCA Civ 1904
19 Jun 1997
CA

Professional Negligence

[ Bailii ]
 
Mohammed Saeed Mohammed Abdul Qayyum v Channel Estates Limited Sadhu Singh Jassal Singh and Garland-Wells [1997] EWCA Civ 1964
25 Jun 1997
CA

Professional Negligence, Contract

[ Bailii ]
 
Charm Maritime Incorporated v Elborne Mitchell and Elias Dimitri Papageorgiou v Elborne Mitchell [1997] EWCA Civ 2005
2 Jul 1997
CA

Professional Negligence

[ Bailii ]
 
Caythorpe Properties Limited; Leonard Brealey v Richard Walter Ibbotson and Ashington Denton (a Firm) [1997] EWCA Civ 2004
2 Jul 1997
CA

Professional Negligence

[ Bailii ]
 
J F Shade v Gray Marshall and Campbell (a Firm) [1997] EWCA Civ 2016
3 Jul 1997
CA

Professional Negligence

[ Bailii ]
 
Herbie Frogg Limited v Lee Barnett Needleman (a Firm) [1997] EWCA Civ 2063
9 Jul 1997
CA

Landlord and Tenant, Professional Negligence, Damages

[ Bailii ]
 
Sally Anne Riddell v Wessex Regional Health Authority and Camden and Islington Health Authority [1997] EWCA Civ 2108
15 Jul 1997
CA

Professional Negligence

[ Bailii ]
 
W and Others v Essex County Council and Another Times, 16 July 1997
16 Jul 1997
QBD

Professional Negligence
A social worker has a duty of care to inform prospective foster parents of the information which a reasonable social worker would provide.
1 Cites

1 Citers


 
Hitchens and Higgins v Bacchus [1997] EWCA Civ 2132
17 Jul 1997
CA
Beldam, Aldous, Phillips LJJ
Professional Negligence

[ Bailii ]
 
Decesare v Fairwater Catering Equipment Ltd [1997] EWCA Civ 2181
24 Jul 1997
CA

Personal Injury, Professional Negligence

[ Bailii ]

 
 Bolitho v City and Hackney Health Authority; HL 24-Jul-1997 - Gazette, 10 December 1997; Times, 27 November 1997; [1997] UKHL 46; [1998] AC 232; [1997] 4 All ER 771; [1997] 3 WLR 1151
 
Thompson (By Her Father and Next Friend, Thompson) v Dr J W Blake-James [1997] EWCA Civ 2225
29 Jul 1997
CA

Professional Negligence, Personal Injury
Alleged failure to advise properly of risk of injury from measles innoculation.
[ Bailii ]
 
William Corbett v Bond Pearce (a Firm) [1997] EWCA Civ 531
8 Aug 1997
CA

Professional Negligence, Wills and Probate, Legal Professions
The solicitors had added a date to a will executed by the client, as a result of this the will had been open to challenge. Objection was then made to the will on the ground of capacity. An action found negligence, but costs were paid from the estate of over £150,000.
1 Cites

1 Citers

[ Bailii ]
 
Nicholas Craig Berlevy and Tobias Berlevy v Blyth Dutton (a Firm) [1997] EWCA Civ 2395
2 Oct 1997
CA

Professional Negligence

[ Bailii ]
 
Assan N'Dow v Timmis Desai (Solicitors) [1997] EWCA Civ 2381
2 Oct 1997
CA

Professional Negligence

[ Bailii ]
 
Maes Finance Limited Mac No 1 Limited v W G Edwards and Partners and Harkness Semmens and Austin-Olsen [1997] EWCA Civ 2393
2 Oct 1997
CA

Professional Negligence, Damages

[ Bailii ]
 
Aylish Mary Anna Sherlock (a Minor) Suing By Her Father and Next Friend James Sherlock v North Birmingham Health Authority [1997] EWCA Civ 2404
3 Oct 1997
CA

Professional Negligence

[ Bailii ]
 
John Haydn Morgan v Batten and Co (a Firm) [1997] EWCA Civ 2431
7 Oct 1997
CA

Insurance, Professional Negligence

[ Bailii ]
 
Louis James Binks (By her Mother and Next Friend Kathryn Binks) v Dr Sadru Maken Avon Health Authority [1997] EWCA Civ 2442
8 Oct 1997
CA

Litigation Practice, Professional Negligence

[ Bailii ]
 
Phelps v Hillingdon London Borough Council Times, 10 October 1997; [1997] 3 FCR 621; [1998] ELR 38
10 Oct 1997
QBD
Garland J
Professional Negligence
An educational psychologist has a professional duty of care to a child when asked to assess for that child for dyslexia, even though the report may be for the local authority.
1 Cites

1 Citers


 
Abbey National Mortgages Plc (Formerly CIBC Mortgages Plc) v Black Horse Agencies Ltd (Alder King 1986 an Unlimited Company Formerly Alder King) T/a Black Horse Agencies Alder King [1997] EWCA Civ 2464
13 Oct 1997
CA

Professional Negligence

[ Bailii ]

 
 Paragon Finance Plc (Formerly Known As National Home Loans Corporation) v D B Thakerar and Co; CA 13-Oct-1997 - [1997] EWCA Civ 2470
 
Robert Irving and Burns (a Firm) v Stone and others Gazette, 29 October 1997; Times, 30 October 1997; [1997] EWCA Civ 2507
16 Oct 1997
CA

Insurance, Professional Negligence
A claim under an insurance policy was not made when the writ was issued but rather when it was served on the insured; Insurer's denial of liability was valid.
[ Bailii ]
 
Holtom v London Borough of Barnet and St Christopher's School [1997] EWCA Civ 2526
20 Oct 1997
CA

Professional Negligence

[ Bailii ]
 
Rodney Alec John Westbury v John Richard Sampson [1997] EWCA Civ 407
21 Oct 1997
CA

Professional Negligence
Failure of solicitor to advise as to variability of lump sum order in ancillary relief consent order on divorce.
[ Bailii ]
 
Cavendish Funding Limited v Henry Spencer and Sons Limited (Previously Trading As Colley Sampson) [1997] EWCA Civ 2564
24 Oct 1997
CA

Professional Negligence, Damages

[ Bailii ]
 
Robert William Roy Walker And Beryl Ann Walker v John S Howard And Kpmg (Formerly Kpmg Peat Marwick, Formerly Kpmg Peat Marwick Mclintoch [1997] EWCA Civ 2587
29 Oct 1997
CA

Professional Negligence

[ Bailii ]
 
Robert William Roy Walker and Beryl Ann Walker v John S Howard and KPMG (formerly KPMG Peat Marwick, formerly KPMG Peat Marwick McLintoch) [1997] EWCA Civ 2588
29 Oct 1997
CA

Professional Negligence

[ Bailii ]

 
 Knapp v Ecclesiastical Insurance Group Plc and David Smith (Trading As David Smith Insurance Brokers); CA 30-Oct-1997 - [1997] EWCA Civ 2616; [1998] PNLR 172
 
Knight v West Kent Health Authority [1997] EWCA Civ 2634
4 Nov 1997
CA

Professional Negligence
Injury to child during birth.
[ Bailii ]
 
Daniel Wilson v Governors of Sacred Heart Roman Catholic School Times, 28 November 1997; [1997] EWCA Civ 2644; [1998] PIQR P145
5 Nov 1997
CA
Hirst LJ, Mantell LJ
Education, Professional Negligence
A nine year old pupil was injured by a fellow pupil whirling an anorak around his head. The accident occurred when they were on their way from the school buildings to the school gates at the end of school day. There was no member of staff on duty to supervise the passage of pupils on their way home. The claim against the school succeeded before the trial judge. Held: The defendant’s appeal was allowed. A primary school was not negligent in not employing someone to supervise the playground after the close of school hours and until all the children had left. The teachers' evidence that no playground supervision was provided before school hours at any secondary schools where they had taught was the best evidence of the requirements of reasonableness. Mantell LJ: "the very short period in which pupils moved from the exit from the school building to the gate at the other end of the playground is quite different, even allowing for the fact that, as the headmaster accepted and Mr Turton emphasised, departing pupils are likely to be high spirited at that particular moment of the day. Moreover, and to my mind most importantly, there was no evidence that supervision at that juncture, as contrasted with the lunch break, is standard procedure, as it surely would be if it was an equally reasonable requirement. I therefore would also allow the appeal."
1 Citers

[ Bailii ]
 
Birmingham Midshires Services Limited (Formerly Hypo-Mortgage Services Limited) Mortgage Services Funding Limited v David Parry and Company (a Firm) Charles Nigel Cullen [1997] EWCA Civ 2642
5 Nov 1997
CA

Professional Negligence

[ Bailii ]
 
Anthony James Williams v Francis John Boyle [1997] EWCA Civ 2652
6 Nov 1997
CA

Professional Negligence
Claimant's application for leave to appeal - refused.
[ Bailii ]
 
Aneco Reinsurance Underwriting Ltd (In Liquidation) v Johnson and Higgins Times, 14 November 1997
14 Nov 1997
CA

Insurance, Professional Negligence
Claims against insurance brokers for negligence are to be heard at the same time as a claim with regard to repudiation of liability; need for notes of arrangements.


 
 Kanpp and Another v Ecclesiastical Insurance Group Plc and Another; CA 17-Nov-1997 - Times, 17 November 1997
 
Flynn v East Birmingham Health Authority and Another [1997] EWCA Civ 2772
20 Nov 1997
CA

Professional Negligence

[ Bailii ]
 
Lowes and Another v Clarke Whitehill (a Firm) [1997] EWCA Civ 2794
21 Nov 1997
CA

Professional Negligence, Damages

1 Cites

[ Bailii ]
 
Bradford and Bingley Building Society v Boyce Evans and Sheppard (a Firm) and Maitlands (a Firm) (1) [1997] EWCA Civ 2813
25 Nov 1997
CA

Professional Negligence

[ Bailii ]
 
Lewisham Investment Partnership Ltd and Another v Morgan Times, 25 November 1997
25 Nov 1997
ChD

Professional Negligence
A valuer was not negligent for following a solicitor's advice as to the basis for his calculation of an appropriate rent when this was in turn based upon the need to follow a CA case.

 
Coulthard, Ashton Shuttleworth, and Dawes v Neville Russell (a Firm) Times, 18 December 1997; [1997] EWCA Civ 2837; [1998] 1 BCLC 143; [1998] PNLR 276
27 Nov 1997
CA
Chadwick LJ
Professional Negligence, Company
Auditors who were in a position to advise a company's directors as to the legality of them making loan payments to a shell company which was acquiring there shares had a duty so to advise. The directors of a company sued them for failing to warn them that a loan made by the company might constitute a breach of section 151 of the Companies Act 1985 and thus should have led to a qualified audit report: their claim was for the loss which disqualification proceedings consequent upon the breach of section 151 had caused them. The auditors sought to strike out the claim on the ground that it was no part of auditors' duties to protect directors personally from the consequences of their mistakes and wrongdoing. The auditors succeeded. Held: On appeal the court allowed the directors' appeal. The complaint involved an allegation that the existence of the loan should have led to a qualified report: "I remind myself that this is an application to strike out…In my view the liability of professional advisers, including auditors, for failure to provide accurate information or correct advice can, truly, be said to be in a state of transition or development. As the House of Lords has pointed out, repeatedly, this is an area in which the law is developing pragmatically and incrementally. It is pre-eminently an area in which the legal result is sensitive to the facts. I am very far from persuaded that the claim in the present case is bound to fail whatever, within the confines of the pleaded case, the facts turn out to be. That is not to be taken as an expression of view that the claim will succeed; only as an expression of view that this is not one of those plain and obvious cases in which it could be right to deny the plaintiffs the opportunity to establish their claim at trial."
Companies Act 1986 151
1 Citers

[ Bailii ]

 
 Nykredit Mortgage Bank Plc v Edward Erdman Group Ltd (No 2); HL 27-Nov-1997 - Gazette, 08 January 1998; Times, 03 December 1997; [1997] 1 WLR 1627; [1997] UKHL 53; [1998] 1 EGLR 99; [1998] 1 ALL ER 305; [1998] PNLR 197; [1998] Lloyd's Rep Bank 39; [1998] CLC 116; [1998] 1 Costs LR 108
 
Crozier v Midland Bank Plc, Forshaw Spittles, Parry [1997] EWCA Civ 2843
27 Nov 1997
CA

Professional Negligence
Application for leave to appeal against dismissal of action for professional negligence against bankers and solictors.
[ Bailii ]
 
Ntiamoah Kumar and Ntiamoah Kumar v Osbournes (a Firm) [1997] EWCA Civ 2877
2 Dec 1997
CA

Professional Negligence, Litigation Practice

[ Bailii ]
 
Denise Sansom and John Monaghan v Metcalfe Hambleton and Co [1997] EWCA Civ 3019; [1998] 2 EGLR 103; [1998] PMLR 542
17 Dec 1997
CA
Butler-Sloss LJ
Professional Negligence
The court warned against finding a professional to have been negligent on the evidence of an expert who was not a member of the same profession. A structural survey was prepared by a chartered surveyor. Expert evidence for the plaintiff was given, not by a chartered surveyor, but by a structural engineer. Held: A court should be slow to find a professionally qualified man guilty of a breach of duty of skill and care towards a client (or third party) without evidence from those within the same profession as to the standard expected on the facts of the case and the failure of a professionally qualified man to measure up to that standard. It is not an absolute rule but, unless it is an obvious case, in the absence of the relevant expert evidence, the claim will not be proved. The court held that the evidence of a structural engineer was not admissible evidence on the question whether a chartered surveyor had been negligent.
1 Citers

[ Bailii ]
 
Platform Homes Limited v Oyston Shipways Limited and others Gazette, 08 January 1998; Times, 15 January 1998; [1997] EWCA Civ 3071
19 Dec 1997
CA

Professional Negligence, Financial Services
A lender's imprudent lending policies could be taken into account and set off against damages for negligent valuation as contributory negligence.
Law Reform (Contributory Negligence) Act 1945
1 Cites

1 Citers

[ Bailii ]
 
Sansom and Another v Metcalfe Hambleton and Co Times, 29 December 1997; Gazette, 04 February 1998
29 Dec 1997
CA

Professional Negligence
A Chartered Surveyor should not be found guilty of professional negligence on basis of evidence of a Chartered Engineer save in the clearest of cases.

 
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