Liability of auditors to be reduced in Bill

The Telegraph reports the Department of Trade and Industry is backing the changes which will replace the current ‘joint and several’ liability regime. This allows negligent auditors to be sued for the entire cost of a company\'s collapse when they might be only partly responsible. It replaces it with ‘proportionate’ liability. The changes come amid fears that an excessive claim could bankrupt one of the remaining big four firms. Under the proposals, companies and their auditors will be able to negotiate their levels of liability. Full report in The Telegraph