Comparison Of Securities Civil Liability Of Certified Public Accountant In The Legal Systems Of P.R. China And The U.S.

The civil liability of certified public accountant (hereinafter referred to as"CPA") has always been a controversial issue attracting the attention from the public, which constitutes a significant part of the civil liability for information disclosure in securities market. The solution to this issue is connected with the development of the profession of CPA, the protection of shareholders'rights and the healthy development of securities market. In recent years, the law of China has improved and strengthened civil liability for information disclosure in securities market. However, the first suit against the CPA based on the amended Securities Law of China took more than one year of up and downs to enter into the proceedings. Therefore, the following article mainly discusses how to improve the legal mechanism of securities civil liability of CPA in the legal proceedings.Mainly from the view of procedures to realize the civil liability of the CPA and the material laws related, this article compares the legal systems of civil liability of CPA in China and the U.S. The article contains three chapters: Starting from the legal environment of the CPA in securities market, Chapter One analyzes the legal position of the CPA in the securities market, compares the two counties'laws supervising the CPA's audit and puts forward some suggestions to improve the mechanism supervising the CPA's audit in China. Chapter Two mainly focuses on CPA's civil liability to the third party which is the core issue to the securities civil liability of CPA and compares the laws of China and the U.S. on the issues of the scope of the third party, the basis for the third party's claim and liability entity of CPA's securities civil liability. Chapter Three discusses the mechanism to realize CPA's civil liability, compares the advantage and disadvantage of the representative action in China and the class action in U.S. and suggests improving the representative action by absorbing the advantages from class action.