However, the duty only requires the auditor to be reasonably careful rather than suspicious. Where fraud occurs, the auditor will not automatically be held to have been negligent for failing to detect it.
Auditors negligence, like other professional negligence claims, is very much fact dependent and it would be necessary to examine the way in which the fraud has been committed and whether this should have been obvious to a reasonably competent auditor exercising normal skill and care.
Auditors Negligence Claim
If the audited accounts show an incorrect overvaluation of the assets the question “was the auditor negligent?” can only be answered by looking at the circumstances. Auditors can for instance rely on certified assurances from company officials as to the value of stock.
As with other areas of professional negligence law, the role of the expert witness is crucial. In most negligent auditor cases it will be necessary to obtain a report from a professional expert witness (experienced in dealing with auditors negligence cases) on whether the duty of care has been breached.
It is therefore important that your solicitors specialising in this field have access to experienced experts who are knowledgeable about auditors negligence.
Please do not hesitate in contacting one of our solicitors if you have suffered from professional negligence. Though you may not be entirely sure whether you are eligible for a claim, we are able to examine your case and give you a clear and swift answer.
We work solely in professional negligence claims. Accordingly, we provide an unmatched service in this sector and in successful claims.
Please visit our Claim Online page for more information and our contact details.