Multiple Choice
Leonard was an entrepreneur who owned a restaurant business called,Blue Moon Diner Ltd.The business was located in an old house owned by Leonard.Lauren,the accountant,was preparing financial statements for the purpose of selling Blue Moon Diner Ltd.She assumed that the house was an asset of Blue Moon Diner Ltd.and did not review the land title or check with Leonard.Alicia purchased the business for $500 000,believing that the house was an asset worth $450 000 and the business was worth $50 000.Can she sue Lauren?
A) Yes,Lauren had a duty of care to Alicia.
B) No,Lauren did not have a duty of care to Alicia.
C) Yes,Lauren breached the standard of care for an accountant.
D) Yes,Lauren had a duty of care to Alicia and breached the standard of care for an accountant.
E) No,Lauren did not have a duty of care to Alicia and breached the standard of care for an accountant.
Correct Answer:

Verified
Correct Answer:
Verified
Q3: The liability of an engineer is limited
Q5: A duty to place a client's interest
Q9: What is the "threefold test" and how
Q10: The failure of architects to maintain their
Q12: It is suggested, but not legally required,
Q15: Most professionals are members of professional associations
Q21: The full and understandable explanation of the
Q25: The duty of a lawyer to keep
Q26: "Competent lawyer" means a lawyer who has
Q28: A fiduciary duty of care may also