Ford & Co.,CPAs,issued an unqualified opinion on Owens Corp.'s financial statements.Relying on these financial statements,Century Bank lent Owens $750,000.Ford was unaware that Century would receive a copy of the financial statements or that Owens would use them to obtain a loan.Owens defaulted on the loan.To succeed in a common law fraud action against Ford,Century must prove,in addition to other elements,that Century was

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In a common law fraud action, the plaintiff must prove that they justifiably relied on the defendant's misrepresentation. In this case, Century Bank justifiably relied on the financial statements prepared by Ford & Co., CPAs. Privity of contract is not required for a party to be held liable for common law fraud, and contributory negligence is not relevant to the issue of justifiable reliance.

Ford & Co,CPAs,issued an Unqualified Opinion on Owens Corp