Caparo Industries v Dickman
LandmarkHouse of Lords[1990] 2 AC 6051 Jan 1990· Tort
Caparo established the modern three-stage test for determining when a duty of care exists in negligence: foreseeability, proximity, and whether it is fair, just and reasonable to impose a duty. The case concerned whether auditors owed a duty of care to potential investors who relied on company accounts. In Robinson v Chief Constable of West Yorkshire Police [2018] UKSC 4 the Supreme Court clarified that the three-stage framework is not a universal test and is relevant only in novel cases.