Extension of tortious liability—novel duties of care—protecting post-employment economic interests of an employee (Rihan v Ernst & Young Global Limited)

Table of contents

• What are the practical implications of this case?
• What was the background?
• What did the court decide?
• Case Details

Article summary

Dispute Resolution Analysis: The court upheld a claim by a partner in a global professional services firm that the firm owed a duty to take reasonable care to protect the post-employment financial interests of the partner. Such a duty was an extension of established situations in which a duty of care had been held to exist to a novel situation. Whether the law of tort should be held to encompass such a duty in any particular case required the application of the threefold test in Caparo Industries v Dickman, viz—is the relationship between the parties one of sufficient proximity—is the injury foreseeable, and is it fair, just and reasonable for the law to impose on the defendant the duty for which the claimant contends? Written by David Fisher, barrister, at New Square Chambers.