Leendertsen v. Price Waterhouse

We are asked to address whether the trial court erred by permitting the Leendertsens to recover interest paid to the IRS as a result of an underpayment of taxes caused in part by Price Waterhouse’s negligence. PW argues that because the Leendertsens had the value of the use of the money, recovering interest paid to the IRS is inappropriate. We agree and reverse.

Clark, Nuber & Company, a prior defendant in this case, prepared plaintiffs Howard and Elizabeth Leendertsens’ tax returns for 1986 and 1987. These returns miscalculated the Leendertsens’ net operating loss carrybacks, resulting in…