Ncp Litigation Trust, Plaintiff-Respondent v. Kpmg LLP, Defendant-Appellant

Summary

The Supreme Court of New Jersey affirmed the Appellate Division’s reversal of the trial court, holding that the imputation doctrine does not bar the litigation trust, as a representative of PCN shareholders, from suing KPMG for negligence in its audit. The Court also held that the trust may bring the claim and remanded for further proceedings. Justice LaVECCHIA and Justice Rivera‑Soto dissented, arguing that the imputation defense should bar the claim at the pleading stage.