Negligent Misstatement Flashcards
1
Q
Negligent misstatement
A
Loss of money due to negligently made statement
2
Q
Hedley Byrne v Heller
A
4 conditions to prove
3
Q
Stage 1
A
D must posses a skill relating to the advice given. D must have skill or expertise in the field of the advice given
4
Q
Stage 2
A
D must know that C is highly likely to rely on the advice given as D is an expert in that field (Mutual life v Evatt)
5
Q
Stage 3
A
C must have relied on the advice given and suffered economic loss
6
Q
Stage 4
A
Must be reasonable to rely on advice
(Caparo v dickman)- relationship of close proximity
(White v jones)- position of responsibility
