Tomasetti v Brailey [2011] NSWSC
1446
Introduction
The NSW Supreme Court has held that an accountant was not liable
for investment losses suffered by its client.
Background
The plaintiffs are Mr Tomasetti SC, a barrister who practices
commercial law, property, equity, and in the Land and Environment
Court, his partner, and the corporate trustee of their
superannuation fund. Tomasetti sought advice from Brailey, his
accountant, as to how to reduce his taxation burden.
In 2000, Brailey recommended Tomasetti invest in four
agricultural managed investment schemes which provided deductions
which operated to reduce his liability to pay income taxation.
Tomasetti accepted the recommendation / advice and caused each
plaintiff to invest in the schemes between 2000 and 2005. Brailey
provided Tomasetti with prospectuses each year prior to Tomasetti
investing. Brailey specifically directed Tomasetti to the
provisions within each prospectus which detailed the
