Each of the states and the federal government have statutes and regulations that prohibit
unfair methods of competition.
A probate court is an example of a general trial court.
Horseco, a new business, purchased ten thoroughbred horses for racing and breeding
purposes. It hired John, an accountant, to prepare financial projections of anticipated
future earnings for the first five (5) years of the new business. The information provided
to John as the basis for the projections included assumptions made by Horseco about
anticipated earnings from racing and breeding. The assumptions were based on
Horseco’s experience and were not based on objective standards that could be examined
by John. John included with the projections a disclaimer that stated that the income
projections were based on assumptions provided by Horseco and that John assumed no
personal responsibility for the accuracy of those projections. Subsequently, the Larson
Company purchased a fifty (50) percent interest in Horseco, and when Horseco’s
income did not match the projections, Larson sued John for accounting malpractice.
How will the court decide?
One of the concerns reflected in Sarbanes-Oxley was that auditors were not exercising
sufficient discretion and independence in conducting audits of their clients.
A deed is not effective to pass title unless it is properly recorded.
The filing of an involuntary bankruptcy case petition results in an order of relief.
Individual intentions, as expressed in contracts and wills, will not be given effect in the
United States unless expressly authorized by law.
An employer can assign to another employer the right to have an employee work.