The Ultramares Doctrine,as Created by Justice Cardozo in Ultramares Corporation

The Ultramares doctrine,as created by Justice Cardozo in Ultramares Corporation v.Touche,states that:

A) a third party may hold an accountant liable for negligence, but only if they have a direct contractual relationship with the accountant and/or the accounting firm.
B) a third party may hold an accountant liable for negligence when the accountant prepares a client audit he or she knows is specifically intended for use by the third party.
C) a third party may hold an accountant liable for negligence when the accountant prepares an audit for his or her client, regardless of whether the accountant knows the audit is specifically intended for use by the third party.
D) a third party may hold an accountant liable for negligence, but only if the engagement agreement with the client contains a general release stating that the client may use the audit for whatever purposes the client wishes.
E) contractual relationships and knowledge of use or intended use are irrelevant issues, because an accountant and/or accounting firm, as professionals, will be liable for any damages caused by their negligence, whether foreseeable or not.