Stone & Rolls Ltd (in liquidation) v Moore Stephens (a firm) [2009] UKHL 39; [2009] WLR (D) 277
“A company, which was in the exclusive control of its sole director and shareholder so as to be primarily liable for frauds committed against third parties, could not bring an action for damages against its auditors on the basis that they had failed to detect ‘the very thing’, namely its fraudulent activities, they were engaged to prevent since any such claim would be based on the company’s own illegal conduct and was accordingly debarred by the principle of ex turpi causa non oritur actio.”
WLR Daily, 31st July 2009
Source: www.lawreports.co.uk
Please note once a case has been fully reported in one of the ICLR series the corresponding WLR Daily summary is removed.
