The House of Lords have handed down Moore Stephens v Stone Rolls Ltd

http://www.publications.parliament.uk/pa/ld200809/ldjudgmt/jd090730/moore-1.htm

Reduced to its essentials, it concerns a company which was used as a

vehicle for fraud. It goes into liquidation, and sues its auditors for

negligently failing to prevent the frauds being committed. The majority

hold that the claim fails on the basis ex turpi causa non oritur actio.

Quite right too.

We discussed the first instance decision a couple of years ago (

http://www.ucc.ie/law/odg/admin/2007.htm  - Alice in Wonderland)

Rob

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Robert Stevens

Professor of Commercial Law

University College London