A false and careless statement that causes no loss is not actionable in negligence
A worked RES examination question on negligence elements, from our Paper 1 bank — with the rule it turns on, and why each of the four options is right or wrong.
The question
The prospective buyer who was told the unit had an approved food-and-beverage use withdrew before contracts and suffered no loss.
Which statement is correct?
The answer, and why
Answer: B
The rule. Negligence requires damage. A false and careless statement that causes no loss is not actionable in negligence.
Why B is correct. The buyer withdrew before contracts and suffered no loss, so an essential element is missing.
The other options.
- A and C treat falsity or carelessness as sufficient.
- D requires knowledge, which is not the test either.
Exam note. The statement was improper. It was not actionable *by this claimant*, because he lost nothing. Separate professional consequences are a different matter.
More on Negligence elements
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