True and fair view: a European perspective

Abstract

The article considers the true and fair view from the viewpoint of the British courts of law. It is noted that while it is an obligation for all preparers to observe, its interpretation is a matter for the courts. It is a dynamic concept and the courts in the UK will interpret it contemporaneously in regard to the facts of the individual case, although accounting opinion would probably play an important role. Its function is to provide an opportunity for the court to adjudicate when there are problems which the rules do not solve. The ultimate legal authority is the European Court of Justice, but this does not mean that there must be a uniform EU interpretation of the true and fair view.