Auditor can be found negligent and liable for damages under contract law or

Auditor can be found negligent and liable for damages

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Auditor can be found negligent and liable for damages under contract law or tort law. Contract: failed duty of care implicit in acting as auditor and explicit in engagement letter. Tort law: failed duty of care of audit due to negligence (being careless). Case law shows change in definition of ‘reasonable’ care and skill over time as standards change. 外聘 审核员 必须 谨慎 执行标准和文件 作。 根据合同 侵权 ,审计人员可能会 玩忽 职守 害赔 责任。 合同 : 到作为审计师的 意义务,并在审计业务 说明 说明 侵权 行为 : 由于 疏忽 ( 心大意 ) 行审计 意义务。 随着标准的 变化 判例法 合理” 理和 能的定义 在不 断变化
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Auditor’s Contractual liability to clients 审计师对客户的合同责任 The engagement letter forms the contract between external auditor and client To establish liability, a client would need to demonstrate failed duty of care Duty of care is explicit in engagement letter and implicit in acting as auditor Case law shows change in definition of “reasonable care and skill” over time as standards change 业务约定 构成 外部 审计师 客户之 的合同 要确 责任, 要证 明其未 意义务 意义务在合作意向 审计 随着标准的 变化 判例法 合理 理和 能”的定义 在不 断变化 Liability to client – tort of negligence 对客户的责任 -- 侵权 责任 An auditor may be liable to a client for the tort of negligence Negligence is failed in performance of the audit by: being careless; and breaching duty of care Case law shows change in definition of “reasonable care and skill” over time as standards change 审计师可能要对客户的过 侵权 行为负责 人士 行审核 作的 疏忽 : 心的 ; 违反注 意义务 随着标准的 变化 判例法 合理 理和 能”的定义 在不 断变化 Q7: Auditor’s liabilities are owed: a. To shareholders only, as auditors are appointed by shareholders. b. To the company, to ensure a corporate veil exists to protect the directors. c. In respect of their duties specified in the Corporations Act. d. To both the company and the body of the shareholders as a whole. 审计师的负 : 对股东负责, 为审计师是由股东 定的。 对公司而 ,要确保公司的面 存在,以保 护董 事。 就《 公司 法》 规定的 责而 对公司和全 股东 Legal liability to clients: Key cases London and General Bank Ltd (1895) UK.
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