Negligence for economic loss and psychiatric injury Ch14 Y2

Question 1

Does negligence have to be proven to claim damages for psychiatric injury/ economic loss

Answer 1

Yes

Question 2

What is pure Economic loss

Answer 2

Economic losses which aren’t caused by physical injury or damage.

Question 3

What case illustrates that there is no liability for economic loss

Answer 3

Spartan Steel

Question 4

What case establishes that there must be a special relationship to claim for a negligent misstatement.

Answer 4

Hedley Byrne

Question 5

What are the 5 elements of a special relationship?

Answer 5

1) possession of a skill or expertise by the advisor.
2) a reliance by the claimant on the advice
3) the advice is communicated directly to the claimant
4) the advisor knows the advice is required for a purpose (at the time of giving it)
5) no disclaimer