Directors' Liability in Negligence – Challenging the "Elements of the Tort" Approach
2016 ◽
Vol 47
(3)
◽
pp. 485
Keyword(s):
This article suggests that the "elements of the tort" approach to directors' liability in negligence to third parties should be discontinued on the basis that assumption of responsibility as a threshold test is not an element of the tort of negligence or negligent misstatement and a more constructive approach would be to address the policy issues associated with imposing liability on directors as part of the two-stage duty of care inquiry.