Buyer be wary: in Quebec, CAs can't be held responsible if investors, relying on their financial analysis, fail to carry out due diligence and suffer losses

Article Abstract:

Investors relying on the services of chartered accountants for their investment options cannot hold the accountants responsible for investment losses under Canadian law. This is especially apparent when the investors fail to back up the investment advice of the accountant with research. This is due to the inability of the accountant to dig up all the information on a company, or to anticipate the actions of the management of the company in attracting investors, which could include a manipulation of the company's finances to reflect a strong investment opportunity.

Financial Planning, Evaluation, Safety and security measures, Investments, Financial planners

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United we stand

Article Abstract:

Shareholders seeking to file suit against a public company's accountants, directors, and officers may take class action or a representative action. However, due to the difficulties involved for investors to establish a class action against such individuals, plaintiffs have demonstrated methods to surmount the challenge. Plaintiffs in Alberta, Canada have resorted to creative pleading and have successfully resisted the motion to strike down the representative nature of their claim.

Other Justice, Public Order, and Safety Activities, Civil Rights, Business Law NEC, Analysis, Class actions (Civil procedure), Class action lawsuits, Accounting, Commercial law, Stockholders' derivative actions, Shareholder lawsuits

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Power to the oppressed

Article Abstract:

Canadian courts have accepted and are applying the oppression remedy to a wider range of cases than ever, at a cost of liability on the part of directors of even small privately held companies. Chartered accountants must therefore communicate advise clearly and seek legal counsel in complex cases. Specific relevant legal cases and statements of judicial opinion, especially regarding the Producers Pipeline, IMAX, and Loveridge-Kingpin cases, are outlined and detailed.

Corporate directors, Stockholders, Corporations, Investor relations, Corporations, Canadian

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