Accountants can generally be held liable to more parties on a fraud theory than on a breach of contract theory.

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This is because fraud involves intentional misrepresentation or deceit, which can potentially harm a larger group of parties beyond the contract between the accountant and client. Breach of contract, on the other hand, typically only involves the parties directly involved in the contract.

Accountants Can Generally Be Held Liable to More Parties on a Fraud