COMMERCE 4SD3 Chapter 5: 4SD3 Chapter 5 Reading and Notes

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 4SD3
• Professor: Paul Stillman

Document Summary

Liabilities may arise from three relationships, generating three different causes of action. The contractual relationship generates a breach of contract cause of action. The fiduciary relationship generates a breach of fiduciary duty. The tort of negligent misrepresentation is available when a tort due of care is owned. An agreement to provide professional services to a client contains a promise, whether expressly stated or not, to perform those services competently. A breach of that promise is a breach of the contract, and the client may sue for damages. Fiduciary duty a duty imposed on a person who stands in a special relation of trust and loyalty to another. Conflict of interest a situation where a duty is owed to a client whose interests conflict with the interests of the professional, another client, or another person to whom a duty is owed.