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Commercial Law
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Issue1. Wollongong city council owes a duty of care to Peter. Rule1. The first step to set legal action against other party in case of negligence is to define existence of a duty of care. If your ac... tion closely and directly affects other people, they can be considered as neighbors. Person must exercise reasonable care to prevent from foreseeable risk which may injure your neighbor. Donoghue v Stevenson (1932) A person with a special skill is liable for information accuracy. Similar to negligence covering action and omission, information providers’ duty comprises both negligent statement and omission of disclosure relating to information that should have been disclosed. Hedley Byrne & Co Ltd v Heller and Partners Ltd (1964) Related concept of neighbor principle in negligent misstatement starts from defining special relationship between parties. According to the Barwick test to define whether there is ‘special relationship’ between parties, information provider must aware of own responsibility in term of being trusted by information recipient and recognize intention of other party to act upon that information, which is reasonable. Also, subject matter of the information must be business nature. A public body needs to exercise reasonable skill and diligence for providing precise information to recipient who will highl [Show More]
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