Commercial Law FAQ - Accountant giving legal advice?
Date: March 03, 2011
Q. I have gone to my accountant as I am thinking of buying a franchise and although he has given me some accounting advice he has indicated that he can fully advise me about the full scope of the transaction including the legal ramifications of the documents I have to sign. Can he do this?
A. No. An accountant is an accountant and it doesn't matter whether he be, for example, a chartered accountant or a CPA he is not entitled to provide you with legal advice and should he make a mistake and you need to sue him his insurer will refuse to pay the claim as a result. Your accountant is only entitled to give you accounting advice and where he purports to give you legal advice he is not entitled to charge you for it as he is committing a criminal offence.
