Identify the areas of most significant legal liability for T3 (private law liability only). Select one or
Question:
Identify the areas of most significant legal liability for T3 (private law liability only).
Select one or more:
a. Property law
b. Contractual liability
c. Criminal or regulatory offense
d. None of the above
e. Tort liability
Choose the areas of private law that are likely to apply in this case.
Select one or more:
a. breach of contract
b. Intellectual Property
c. tort of nuisance
d. the tort of trespass
e. tort of defamation
f. real property - caveat emptor
g. the tort of passing off
h. tort of negligence / negligent misrepresentation
What are the potential consequences of private law?
Select one or more:
a. Fines
b. Imprisonment
c. Termination of contract
d. Specific Performance
e. Payment of Damages
T3 is only vicariously liable if the accountant is an employee; the accountant isn't an employee if he didn't have a written employment contract with T3.
Select one:
True
False
The software that authenticates source documents is protected:
Select one:
a. By trademark
b. By an industrial design
c. By copyright
d. As confidential business information
e. By a patent
The accountant is vicariously liable for the actions of T3.
Select one:
True
False
T3 prepares audited financial statements for its clients. The investors of its client companies may be able to sue T3 for negligent misrepresentation.
Select one:
a. True - as the financial statements were prepared by a professional accounting firm
b. True - as the audited financial statements are meant to be reliable to third parties and the investors relied upon them
c. False - T3's actions have no bearing on investment decisions
d. False - audited financial statements are only for the directors of a company and investors shouldn't rely on them
Auditing and Assurance Services A Systematic Approach
ISBN: 978-1259162343
9th edition
Authors: William Messier, Steven Glover, Douglas Prawitt