Deloitte: Difference between revisions

In proceedings arising from the insolvency of the former entertainment company [[Livent]], in April 2014 its special receiver obtained judgment against Deloitte for $84,750,000 in the [[Ontario Superior Court of Justice]], in relation to Deloitte's failure to exercise its [[duty of care]] with respect to the audit of Livent's financial statements during 1993{{endash}}1998.<ref>{{cite news|author = Drew Hasselback|title = Livent auditor Deloitte ordered to pay $84.8-million for failing detect fraud|url = http://business.financialpost.com/2014/04/06/livent-auditor-deloitte-ordered-to-pay-84-8-million-for-failing-detect-fraud/|newspaper = [[Financial Post]]|date = 6 April 2014}}, discussing {{cite CanLII|litigants=Livent Inc v Deloitte & Touche LLP|link=|year=2014|court=onsc|num=2176|pinpoint=|parallelcite=|date=4 April 2014|courtname=|juris=}}</ref> The ruling was upheld by the [[Ontario Court of Appeal]] in January 2016,<ref>{{cite news |last=Perkel |first= Colin |date=8 January 2016 |title=Court upholds $118-million award against negligent Livent auditor Deloitte |url=http://business.financialpost.com/legal-post/court-upholds-118-million-award-against-negligent-livent-auditor-deloitte |newspaper=Financial Post}}, discussing {{cite CanLII| litigants=Livent Inc v Deloitte & Touche| link=| year=2016| court=onca| num=11| date=8 January 2016}}</ref><ref>{{cite web |url=http://www.thecourt.ca/2016/01/19/livent-v-deloitte-has-the-fat-lady-finally-sung/ |title=''Livent v Deloitte'': Has The Fat Lady Finally Sung? |last1=Joseph |first1=Patricia |date=19 January 2016 |website=thecourt.ca |publisher=[[Osgoode Hall Law School]] |url-status=dead |archive-url=https://web.archive.org/web/20160125185555/http://www.thecourt.ca/2016/01/19/livent-v-deloitte-has-the-fat-lady-finally-sung/ |archive-date=25 January 2016 }}</ref><ref>{{cite news |last=Buckstein |first=Jeff |date=March 2016 |title=Livent ruling seen as game changer for auditing duties |url=http://thebottomlinenews.ca/articles/820 |url-status=dead |archive-url=https://web.archive.org/web/20160306134737/http://thebottomlinenews.ca/articles/820 |archive-date=6 March 2016 |newspaper=The Bottom Line}}</ref> but in December 2017, the [[Supreme Court of Canada]] in ''[[Deloitte & Touche v Livent Inc (Receiver of)]]'' allowed an appeal in part, declaring that liability existed only in respect of Deloitte's negligence in conducting the audit for Livent's 1997 [[fiscal year]], and accordingly reduced the amount of damages awarded to $40,425,000.<ref>{{cite CanLII|litigants=Deloitte & Touche v Livent Inc (Receiver of)|link=Deloitte & Touche v Livent Inc (Receiver of)|year=2017|court=scc|num=63|parallelcite=|date=20 December 2017}}</ref>