(a) This section applies to all causes of action of the type specified herein filed on or after the effective date of the enactment of this section.

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22 Guam Code Ann. BUSINESS REGULATIONS
CH. 35 ACCOUNTANCY

(b) This section governs any action based on negligence brought against any accountant, or firm of accountants, practicing in Guam by any person or entity claiming to have been injured as a result of financial statements or other information examined, compiled, reviewed, certified, audited or otherwise reported or opined on by the defendant accountant or in the course of an engagement to provide other services.

(c) No action covered by this section may be brought unless: (1) The plaintiff
(A) is issuer (or successor of the issuer) of the financial statements or other information examined, compiled, reviewed, certified, audited or otherwise reported or opined on by the defendant and

(B) engaged the defendant licensee to examine, compile, review, certify, audit or otherwise report or render an opinion on such financial statements or to provide other services; or

(2) The defendant licensee or firm:

(A) was aware at the time the engagement was undertaken that the financial statements or other information were to be made available for use in connection with a specified transaction by the plaintiff who was specifically identified to the defendant accountant,

(B) was aware that the plaintiff intended to rely upon such financial statements or other information in connection with the specified transaction, and

(C) had direct contact and communication with the plaintiff and expressed by words or conduct the defendant accountant=s understanding of the reliance on such financial statements or other information.

SOURCE: Section title amended by P.L. 28-118:23 (Apr 26, 2006).

2017 NOTE: Subitem designations altered pursuant to the authority of 1 Guam Code Ann. § 1606.