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Frank Houlgate Investment Company Ltd v Biggart Baillie LLP [2014] CSIH 79 - 25/09/14

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Biggart Baillie LLP (vicariously liable for the wrongful acts and omissions of its partner) was liable in damages to the victims of their client's deceit. In essence, the firm acted for their client, John McGregor Cameron (JMC), in security transactions in which JMC pretended to be a wealthy landowner. The firm continued to act for JMC even after he had confessed his fraud to the firm's partner, Mr Mair. In the opinion of Lord Menzies, "a solicitor is expected to have the highest standards of honesty". Mr Mair had an immediate obligation to tell of JMC's fraud and, given the fraud, there was no obligation of confidentiality. Mr Mair was also held to be liable as an accessory to JMC's fraud.

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