LAW 122 Lecture Notes - Lecture 7: Numbered Company, Partial Defence, Canada Business Corporations Act

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Exists if defendant is required to use reasonable care to avoid harm to plaintiff (donoghue v stevenson: mechanism to control scope of liability. No duty of care: liability not possible criteria for duty of care (decide whether a duty of care should exist) Need to strike balance between the need to compensate people hurt by negligent statements and the need to protect businesses. Careless statement are different from careless actions (careless statements usually result in pure economic loss versus property damage and physical injury) Special rules for careless statements: defendant knew that plaintiff might rely on statement, plaintiff relied upon the statement for its intended purpose. Reasonable person takes precautions against reasonably foreseeable risks (could be reasonable even if unlikely to occur) Greater care if injury could be extremely serious vs. a light bruise: professional negligence (what is their standard of care): Must act as the reasonable professional would act in similar circum.

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