Allied Finance and Investments Ltd v Haddow & Co - [1980] 2 NZLR 428

Contract — Tort — Liability of solicitor — Director and company both clients of defendant firm of solicitors — Director arranged loan from plaintiff ostensibly to finance purchase of yacht — Director signed security documents in his own name — Defendant returned executed documents with letter certifying that instrument by way of security was "fully binding" on director — Defendant did not advise plaintiff that yacht was owned by the company and that the director was not, and would not become, its owner — Loan not repaid — Director adjudicated bankrupt — Whether defendant liable on ground of breach of a contractual undertaking as to ownership of yacht or negligence.