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ACCA Applied Skills · Corporate and Business Law (Global) · Business, political and legal systems

Lumen Co's manager knowingly dumps toxic waste in breach of a statute. The state brings a prosecution, and separately a neighbouring farmer sues Lumen Co for the loss of his crops. Which statement is correct?

The same conduct can give rise to both criminal and civil liability. The state prosecutes the offence and must prove it beyond reasonable doubt, while the farmer separately sues for compensation on the balance of probabilities. A prosecution does not prevent the civil claim.

  1. AThe farmer's action cannot proceed until the criminal case ends, because the same facts cannot be heard by two courts
  2. BThe same conduct can give rise to both criminal liability and civil liability, tried separately with different standards of proofCorrect
  3. COnly the criminal case is possible, because a civil claim is barred once the state prosecutes

Explanation

One act can be both a crime and a civil wrong. The state prosecutes the crime, needing proof beyond reasonable doubt, while the farmer sues for compensation on the balance of probabilities. The two actions are separate and neither bars the other.

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