Walpert, Smullian & Blumenthal, P.A. v. Katz

BELL, Chief Judge.

This case presents the issue of under what circumstances, if any, absent a contractual relationship, an accountant is liable for the economic losses of a party who relied on a financial report which the accountant prepared. The Circuit Court for Baltimore City concluded that, under the circumstances of this case — where there is no privity between the accountant and plaintiff and the plaintiff is not the intended beneficiary of the *648accountant’s contract — no duty is owed. Although agreeing with the trial court that the plaintiffs were not the intended beneficiaries, the…