(1) PHILLIP JOHN SIDDELL (2) CAROL ANN SIDDELL v SMITH COOPER AND PARTNERS (A FIRM) (1) SYDENY RONALD VERDUN FOLLOWS (2) MARLENE FOLLOWS v SMITH COOPER & PARTNERS (A FIRM)

[1999] Lloyd's Rep PN 79

COURT OF APPEAL

Before Lord Justice Mummery and Lord Justice Clarke

Negligence - Auditors and accountants - Plaintiffs directors and shareholders of company - Defendants the company’s auditors and managing accountants - Plaintiffs had given joint and unlimited personal guarantees - Plaintiffs paid off loan of company in sum of £120,000 by obtaining home loans secured over their matrimonial homes - Company went into administrative receivership and wound up - Application to strike out on grounds that Statement of Claim disclosed no cause of action -Whether defendants owed duty of care to plaintiffs - Whether the alleged breaches of duty were causative of the losses claimed - Whether proposed re amendment arose out of the same facts as those already pleaded.