Auditor’s negligence strike-out application

Alexander Psaltis (led by Craig Wilkins) successfully resisted an application to strike-out a proceeding against an auditor of Minimum Financial Requirements reports delivered to the Queensland Building and Construction Commission by licensed companies in the now in liquidation JM Kelly group of companies. At issue was the appropriate measure of damages where, by reason of the auditor’s negligence, it is alleged that the licensed companies were able to continue to maintain their licences and thereby continue to trade and incur debts to creditors.

JM Kelly Builders Pty Ltd (in liq) v Milton [2021] QSC 59