When you rely on the advice and services of a professional you are entitled to expect that the advice and services will be delivered with reasonable care and skill, that which is expected of a reasonably competent professional in the profession.
In New South Wales, you may be able to sue a professional for negligence if their conduct falls below the required professional standard and causes you loss.
Quick answer: When can you sue a professional in NSW?
You may be able to sue a professional in NSW if you can establish that:
- the professional owed you a duty of care
- the professional breached the duty of care
- the breach caused your loss
- you suffered measurable damage
Professional negligence claims commonly involve solicitors, accountants, financial advisers, engineers, architects, and medical practitioners.
Strict limitation periods apply, so obtaining early legal advice is important.
What is the standard of care?
Professional negligence arises when a qualified professional fails to exercise reasonable care and skill in providing their services. This is assessed against what is recognised as competent professional practice in the specific profession and in the relevant circumstances.
When do you have a valid claim?
To successfully bring a professional negligence claim in NSW, you generally need to establish four key elements:
1. Duty of care
The professional must owe you a duty to exercise reasonable care and skill.
A duty of care commonly arises where there is a formal professional relationship, including:
- solicitor and client
- accountant and client
- doctor and patient
- adviser and investor
In some circumstances, a duty may also arise where reliance on professional advice was reasonably foreseeable.
2. Breach of duty
You must establish that the professional failed to meet the standard expected of a reasonably competent professional in the same field.
Examples may include:
- a solicitor giving incorrect advice or failing to give appropriate advice when it was required in the circumstances
- an accountant providing incorrect tax advice
- a financial adviser recommending unsuitable investments
- a medical practitioner failing to diagnose a condition
Not every mistake amounts to negligence. The conduct must fall below the accepted professional standard.
3. Causation
You must prove the professional’s conduct caused your loss.
This usually requires establishing:
- the loss was caused by the professional’s conduct, and
- it is appropriate for the professional to be legally responsible for that loss
Causation is often one of the most contested issues in professional negligence litigation.
4. Loss or damage
You must have suffered measurable loss or damage.
Depending on the circumstances, this may include:
- financial loss
- loss of a legal right
- business losses
- additional tax liabilities or penalties
- costs incurred in correcting errors
- investment losses
A claim cannot succeed without demonstrable loss.
What time limits apply to professional negligence claims in NSW?
Strict time limits apply to professional negligence claims in NSW. Under the Limitation Act 1969 (NSW), you generally have:
- 6 years from the date the loss occurred for a claim other than personal injury, or
- In the case of personal injury, 3 years from when you became aware (or ought to have become aware) of the loss
There is also a “long-stop” limitation period of 12 years in some cases for personal injury matters . Delays can significantly impact your rights, so early advice is critical.
What defences may professionals raise?
Professionals may defend negligence claims by arguing:
- their conduct was consistent with widely accepted professional practice
- the loss was caused by factors unrelated to their conduct
- you contributed to the loss through your own actions or omissions
These defences may reduce or defeat a claim entirely.
What should you do if you suspect professional negligence?
If you believe a professional’s conduct caused you loss:
- obtain legal advice as soon as possible
- gather relevant documents and communications
- preserve evidence relating to the advice or services provided
- avoid delays that may affect limitation periods
Early advice can assist in assessing the strength of your claim and available options.
How we can assist
Professional negligence claims are often complex and evidence-heavy.
We advise clients throughout New South Wales on negligence claims involving solicitors, accountants, financial advisers, and other professionals.
Our team can assist with:
- assessing whether you have a viable claim
- obtaining expert evidence where required
- advising on limitation periods and legal strategy
- representing you in negotiations or court proceedings
We provide practical advice focused on protecting your legal and financial position.
Frequently Asked Questions
Can you sue a professional for bad advice?
Yes. If negligent advice caused financial or other measurable loss, you may have a professional negligence claim.
Do you need expert evidence in professional negligence claims?
Often, yes. Courts commonly routinely require independent expert evidence regarding the professional standard of care, whether it was breached and whether the breach caused the loss
How long do you have to sue a professional in NSW?
Generally, claims must be brought within:
- 6 years from when the loss occurred for claims other than those involving personal injury, or
- 3 years from when the loss was discovered in the case of claims involving personal injury
Strict limitation periods apply.
What compensation can you recover?
Compensation may include financial losses, rectification costs, investment losses, additional liabilities, and other losses caused by the negligence.
Can professionals defend negligence claims?
Yes. Professionals may argue they acted in accordance with accepted professional standards or that the loss was caused by other factors.