DUTY OF CARE – ECONOMIC LOSS
The object of this chapter is to explore the limits of liability for economic loss in tort, which is another area of law in which the courts have found it necessary to restrict the number of claims for pragmatic reasons, especially when the damage is regarded as ‘pure’ economic loss. Distinctions have been drawn between economic loss caused by careless words or statements, and economic loss caused by careless conduct. Different rules have also been developed in relation to economic loss resulting from damage to property belonging to a third party or from injury to a third party. As regards claims under other areas of law, such as deceit, the courts are less restrictive in their approach to economic losses.