Damage Control: Auditors Hope for Liability Victory in U.K.

Focuses on the efforts of European auditing firms to cap the liability awards they will be forced to pay out for their role in faulty auditing. Recent accounting scandals that will make legislative efforts to cap auditor liability difficult; Standards related to capping liability that are being considered by the British Department of Trade and Industry; Comments from Jeremy Jennings, global director of regulatory and government relations for Ernst &Young Global, regarding existing caps in Germany and Austria; Excerpt from a paper written by the American Assembly, a public-policy group based at Columbia University, calling for the U.S. Securities and Exchange Commission (SEC) and the Public Company Oversight Board to protect accounting firms from lawsuits.