Section 415: Liability of auditors for negligence.

(1) A company’s auditor shall in the performance of his duties exercise all such care, diligence and skill as is reasonably necessary in each particular circumstance.
(2) Where a company suffers loss or damage as a result of the failure of its auditor to discharge the fiduciary duty imposed on him by subsection (1), the auditor is liable for negligence and the directors may institute an action for negligence against him in the Court.
(3) If the directors fail to institute an action against the auditor under subsection (2) of this section, any member may do so after the expiration of 30 days’ notice to the company of his intention to institute such action.