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Nocton v Lord Ashburton

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Citation(s)
  
[1914] AC 932

Date decided
  
June 19, 1914

Ruling court
  
Judicial functions of the House of Lords

Similar
  
Derry v Peek, Candler v Crane - Christma, Boardman v Phipps, Hedley Byrne & Co Ltd v Hell, Regal (Hastings) Ltd v Gulli

Nocton v Lord Ashburton [1914] AC 932 is a leading English tort law case concerning professional negligence and the conditions under which a person will be taken to have assumed responsibility for the welfare of another.

Contents

Facts

Lord Ashburton was buying a property for £60,000 on Church Street, Kensington, London. His solicitor was Mr Nocton. Mr Nocton advised Lord Ashburton to release part of the mortgage security. This was a bad idea, because as Mr Nocton in fact knew, this meant that the security would become insufficient. Lord Ashburton alleged the advice was not given in good faith, but rather in Mr Nocton's self-interest.

Judgment

Viscount Haldane LC for the House of Lords held that despite Derry v Peek (which had disallowed any claim for misstatements apart from in the tort of deceit), Nocton was liable for his bad advice given the fiduciary relationship between the solicitor and client.

References

Nocton v Lord Ashburton Wikipedia