Company Law Reform Bill [HL]

I do not think it is that difficult to follow at all. Two things are clear. First, the important things the court will have to take into account in determining whether a limitation is fair and reasonable are those three things that are identified; namely, the auditors’ responsibilities, the nature and purposes of the auditor’s contractual obligation to the company, and the professional standards expected of him Secondly, given that the Bill says,"““as is fair and reasonable in all the circumstances””," one is driven to the conclusion that ““in all the circumstances”” means just that, and that cannot be as restrictive as the noble Baroness’s amendment would suggest. Having said that, and while I am not attracted the idea of removing a reference to those three items, because they are very important, I will take away the Amendment No. 340A, and consider its effect. We can then return to this on a later occasion.