Is compliance with the auditing standards a complete defence against auditor negligence? ?
A) Yes, the courts have determined that failure to comply with the standards is a necessary precondition for a negligence action to be successful.
B) No, the courts could determine that public interest could require an auditor to go beyond the requirements of the auditing standards.
C) Yes, legislation contains "safe harbour" provisions (protections) for auditors that comply with the auditing standards.
D) No, the auditing standards are not recognized at law.

Question

Quizplus · Accepted Answer

Compliance with auditing standards is not a complete defense against negligence because courts may require auditors to act in the public interest, which could involve going beyond the standards.

Is Compliance with the Auditing Standards a Complete Defence Against