ch52

West's Business Law with Online Research Guide, 9th Edition

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ACCOUNTANT’S DUTY OF CARE An accountant must possess the skills that an ordinarily prudent accountant would have and exercise the degree of care that an ordinarily prudent accountant would exercise. The skills and care of an ordinarily prudent accountant are reflected in the generally accepted accounting principles (“GAAP”) promulgated by the Financial Accounting Standards Board (FASB), and the generally accepted auditing standards (“GAAS”), promulgated by the American Institute of Certified Public Accountants (AICPA). An accountant conforming to GAAP or GAAS, and acting in good faith , will normally not be held liable for incorrect judgments or for relying on incorrect information. On the other hand, a violation of GAAP or GAAS will be prima facie evidence of the accountant’s negligence, subject to the accountant clearly qualifying her opinion or disclaiming liability for particular errors. Ch. 52: Liability of Accountants and Other Professionals - No. 1 West’s Business Law (9th ed.)
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ATTORNEY’S DUTY OF CARE An attorney owes her client the duty to provide competent and diligent representation. An attorney must know well-settled principles of law applicable to a case and discover what law can be found through a reasonable amount of research . An attorney’s competence and diligence are judged against those of a reasonably competent general practitioner of ordinary skill , experience , and capacity , unless the attorney holds herself out as being expert in some area of law, in which case she is held to the higher standard of
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ch52 - ACCOUNTANTS DUTY OF CARE An accountant must possess...

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