Jurisdiction(s):
United Kingdom

Related legal acts

Key definition

Negligent misstatement definition

What does Negligent misstatement mean? A negligent misstatement is a carelessly inaccurate statement or advice that another person reasonably relies on and suffers loss as a result, typically pure economic loss. Liability turns on whether a duty of care arose when the statement was made. The concept is defined by case law (not legislation), with Hedley Byrne v Heller [1964] AC 465 establishing that a duty may arise where there is an assumption of responsibility or “special relationship”, reasonable reliance is foreseeable, and loss is caused. It commonly arises in professional contexts (for example, reports or advice by surveyors, accountants, bankers or solicitors), employment or...

Negligent misstatement: disclaimers, UCTA reasonableness, contributory negligence, illegality, Misrepresentation Act options, limitation, director liability, financial mis-selling, public policy immunity, and defence strategy

Published by a LexisNexis Dispute Resolution expert

Practice notes

Liability for Negligent misstatement can, in various ways, be avoided and/or curtailed. For an explanation of how to found such a claim, see Practice Note: Negligent misstatement—founding a claim. For general guidance on clauses that seek to limit or exclude liability, consult the following Practice Notes:

Misrepresentations—excluding and limiting liability for them
Contractual Estoppel
Contractual estoppel—illustrative cases

Disclaimers of liability for negligent misstatement

A disclaimer will be effective where the statement is coupled with wording that plainly signals an intention to disclaim. In Hedley Byrne v Heller, the defendants said their advice was provided 'without responsibility', which the court accepted as excluding what would otherwise have been negligence liability. The wording must be explicit and unequivocal; the court will not infer a disclaimer (see Box v Midland Bank [1981] 1 Lloyd’s Rep 434, not reported by LexisNexis®).

Third parties

The mere involvement of a third party will not, of itself, make it impracticable to disclaim liability...

To view the latest version of this document and thousands of others like it, sign-in with LexisNexis or register for a free trial.

Professor Richard A Buckley , M.A, D.Phil, DCL, Oxford

University of Reading

Professor Buckley is an Emeritus Professor of Law 2008 -. Formerly Professor of Law, University of Reading 1993-2008; Fellow and Tutor in Law, Mansfield College, Oxford 1975-1993; Lecturer in Laws, King's College, London 1970-1975. Leverhulme Research Fellow, 2001. Publications include The Law of Negligence and Nuisance, 5th ed (2011, LexisNexis); Illegality and Public Policy, 2nd ed (2009, Sweet & Maxwell); The Law of Nuisance, 2nd ed (1995, Butterworths). Professor Buckley is also a contributing editor to Clerk and Lindsell on Torts, Halsbuy's Laws of England, Atkin's Court Forms, Fleming's The Law of Torts, 10th ed (2011), and formerly to Salmond and Heuston on Torts. ...

Web page updated on 21/05/2026

Popular documents

Using the Judicial College Guidelines to assess general damages in personal injury claims

When evaluating a general damages claim, the practitioner ought initially to refer to the Judicial College Guidelines (JCG)...

Tomlin orders in England and Wales: CPR guidance on drafting, confidentiality, approval, variation, enforcement, limitation, CCA issues, court-specific requirements, sample wording and precedents

This Practice Note This Practice Note reviews mechanisms used in settling litigation. A Tomlin order consists of a consent order paired with a schedule. It operates to stay proceedings on terms that have been agreed. The provisions contained in the schedule may remain confidential. This Practice Note describes the scope of confidentiality attaching to the schedule and sets out how it differs from a standard consent order. Sample wording for a Tomlin order is included, alongside links to precedents, as well as guidance on court approval. It also addresses varying, setting aside and enforcing a Tomlin order, including the considerations the court will take into account when handling applications for each. Further guidance is provided on interpreting and applying the relevant provisions of the CPR; however, some courts and divisions impose very specific requirements for both drafting and approval, and for approaching the schedule and confidentiality issues. Accordingly, you must consider the particular rules and court guide provisions in the forum where your claim is proceeding when drawing up the Tomlin order...

Precedent: Deed of Surrender of Lease with Optional Premium, Settlement and Release, Landlord, Mortgagee and Guarantor Consents, Reimbursement and HM Land Registry Provisions (England and Wales)

Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...

Precedent Statutory Declaration: Standard Wording under the Statutory Declarations Act 1835

I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...