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Professionals and Fiduciaries- Perils and Pitfalls

Simon BaughenSenior Lecturer in Law, University of Bristol

ISBN13: 9780953359943
ISBN: 0953359948
Published: June 2002
Publisher: Gostick Hall Publications
Format: Paperback
Price: £48.00



Although the recent House of Lord's decision in the Twinsectra case appears to have lessened the risk of a professional being found to have been dishonest when assisting a client to perpetuate a wrong against a client, there are a growing number of circumstances when a professional may incur liability. As the author shows, the line separating negligence from dishonesty is still all too easy to cross. And what, for this purpose, is dishonesty? And what is "Nelsonian" knowledge, and what are its consequences? All professional partnerships are more acutely aware of the risks of becoming liable to a third party through the actions of their clients. Solicitors, accountants, notaries and insurance brokers, bankers, tax advisors and trustees are all exposed to risk unless the dangers are understood. Furthermore, the seriousness of this risk is compounded by the fact that where there is dishonesty, the protection of a professional indemnity policy will not be available. Add to this the dangers of partners becoming vicariously liable, then there is every need for Simon Baughen's analysis of the risks. With a systematic examination of the cases the author constructs an understandable perspective of diverse and complex judicial interpretations. Knowing receipt and knowing assistance receive particular treatment, which will be welcome to all professionals and lay a good foundation to understanding this growing area of risk.

Subjects:
Equity and Trusts
Contents:
Introduction
The Professional as Fiduciary
Equity, Knowing Assistance
Economic Torts
Equity, Knowing Receipt
Common law - the action for money had and received
Proprietary claims
Vicarious liability
Conclusion