... balance of probabilities that there was negligence. He must first establish if there was a duty of care owed by either party to Henry. It has been the general presumption of tort law that recovery for "pure" economic loss was not actionable save in exceptional cases, to impose such a duty would lead to "...liability in an indeterminate amount for an indeterminate time to an indeterminate class...". However the landmark case of Hedley Byrne-v-Heller allowed recovery in certain situations. The scope of Hedley Byrne is somewhat limited by dicta in Caparo-v-Dickman which excluded liability for general statements to the public and Mutual Life & Citizens' Assurance-v-Evatt where the Privy Council sought to limit the scope to advice given in the course of business. However the Court of Appeal has held there to be a duty of care between friends in circumstances where there is sole reliance placed upon the statement ...

See this essay or coursework document in full right now