Legal Environment of Business – Torts – Flashcards
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Tort
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An omission (failure to act) or a wrongful act (other than a breach of contract) against a person or his property. Damage to a property or injury to a person.
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Tort Law private or public law?
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Private
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Tort Law: Civil or criminal?
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Civil
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Purpose of Tort Law
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To compensate the innocent victim, not used to punish
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Tortfeasor
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A person who commits a tort
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Joint Tortfeasor
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Two or more persons acting together to commit a tort.
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Egg-Shell Theory
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You take your victim as you find them, you are liable for the probable, natural consequences of your actions whether you intended them or not
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Deep pocket Theory
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Sue as many defendants as you can especially those with the deepest pockets Ex) Employee of big corporation gets sued, will sue corporation because they have more money than individual employee
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Three Theories of Tort Liability
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Intentional, Negligence, Strict Liability
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Intentional Tort
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A wrongful act knowingly committed. Had intention. victim can seek both compensatory and punitive damages if they can prove tort as intentional
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Assault
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An intentional act for someone to have fear that they will be harmed. Example: Pointing a gun at someone.
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Battery
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intentional/unprivileged contact with someone without their consent (shooting someone)
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Mental Distress
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intentional act, generally malicious causing severe emotional distress
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False imprisonment
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intentionally putting someone in an area where they have no reasonable means of escape
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Malicious Prosecution
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"False arrest" A tort in which one person wrongfully subjects another to criminal or civil litigation for the sole purpose of causing problems for that other person, often in retaliation for previous litigation between the two.
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Defamation
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make and publish an untrue statement about someone that causes them damage, must be communicated to a third party
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Two types of Defamation
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Libel and Slander
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Libel
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written defamation, potential for damage is greater because it has permanent form
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Slander
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Verbal or Oral defamation
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Invasion of Privacy
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intentional intrusion into the private affairs of another, "a man's home is his castle"
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Fraud
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intentional misrepresentation of a material fact that is justifiably relied upon by someone to his or her injury
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5 elements of Fraud
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a. Misstatement b. Material fact c. Reasonably relied on d. Resulting in Damage, detriment, or injury e. Scienter
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Trepass
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presece on another's property without consent or legal right. To Land or Personal Property
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Conversion
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Not only do you take the property but you change its nature that you can't return it in original form
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Nuisance
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any kind of activity that causes damage to the enjoyment of another person
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2 types of Business Torts
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At common law and Statutory
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Instances of business tort common law (3)
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Injurious Falsehood (Trade Disparagement), Intentional Interference with Contractual Relations, Trade Secret Violations
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Injurious Falsehood (Trade Disparagement)
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publication of untrue statements that disparage the business owner's product or it's quality i. Ex) P&G sue individuals for associating logo with Satanism, Warnoco sues Calvin Klein for falsely accusing them of counterfeit
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Intentional Interference with Contractual Relations
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I can sue you and 3rd party that caused you to breach contractex) one company raiding another for employees
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Trade Secret Violations
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if you have a trade secret, it is your personal property forever. If someone reveals this information you can sue them for this.
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Instances of business tort - statutory (4)
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Unfair competition, Trademark Infringement, Patent Infringement, Copyright Infringement
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Negligence
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(malpractice) somebody commits a tort accidentally, committed not on purpose but because they weren't careful enough (most common) (can not seek punitive)
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4 elements of negligence (Must prove all 4)
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Duty of Care Breach of Duty to Care Causation Injury, Detriment, or Damage
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Duty of Care
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Must prove there's a relationship between the defendant and the plaintiff, the defendant owed the plaintiff duty of care
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Breach of Duty to Care
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When a provider fails to provide treatment for another that the "reasonable man" in similar circumstance would provide. Jury determines on a scale of 0 - 100 what a reasonable man would do, compare that to 0-100 of what the defendant did
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Res Ipsa Loquitur Doctrine
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A legal doctrine that infers negligence simply because an event occurred, if it is the type of event that would not normally occur in the absence of negligence: Res Ipsa Loquitur means "the event speaks for itself."
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Causation
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Defendant must have caused the prohibited result.
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2 types of Causation
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Actual and Proximate
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Actual Causation
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claim that the defendant's action was the direct cause of plaintiff's injuries or damages, must pass a "but-for" test
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Proximate Causation
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The defendant must be the legal cause that the plaintiffs injuries, must be the probable consequence of the defendant's breach of the duty of care. The proposition that those engaged in activity are legally liable only for the foreseeable risk that they cause.
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Affirmative Defense
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defendant must specifically raise these defenses to take advantage of them. defenses of negligence are affirmative.
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Defenses of Negligence (affirmative defenses)
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Contributory Negligence, Comparative Negligence, Assumption of the Risk
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Contributory Negligence
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An affirmative defense that alleges that the plaintiff, through a lack of care, caused or contributed to his or her own injury.
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Comparative Negligence
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A theory in tort law under which the liability for injuries resulting from negligent acts is shared by all parties who were negligent (including the injured party), on the basis of each person's proportionate negligence.
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Assumption of the Risk
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if you as a plaintiff enter into an activity knowing that its risky, defendant can argue you assumed that risk Ex) fly ball hits you at a baseball game
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Degrees of Negligence (3)
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Slight, Ordinary, Gross
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Slight Negligence
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the failure of the defendant to exhibit extreme care, only get compensatory damages
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Ordinary Negligence
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Absence of reasonable care that can be expected of a person in a set of circumstances.
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Gross Negligence
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an action committed with extreme reckless disregard for the property or life of another person. Defendants actions are way below what he should have done, as if you intended to do it
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Classifications of Persons on a Property of Another (3)
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Invitee, Licensee, Trespasser
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Invitee
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who you owe highest duty of care, know when their coming and whose coming, duty to inspect and warn them of defects on your property
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Licensee
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comes on your property legally but you don't necessarily know when to expect them. owe them less of a duty of care, owe them a duty to warn them of duties you're aware of Ex) mailman
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Trespasser
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someone whose on your property without your permission. Duty of care to refrain from intentionally harming them
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Attractive nuisance doctrine
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States that there is a special duty of care required with respect to conditions that could attract children and which may be dangerous. Ex) pools
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State Recreational Use Statutes
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if you have an activity on your private property that you open up for the general public to use then you are not liable for their injury
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Strict Liability (easiest to prove)
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legal responsibility for injury causing behavior that is neither negligent nor intentional (can not seek punitive)
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Ultra hazardous or Inherently Dangerous Activities
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Strict liability Ex) Fireworks, transporting hazardous materials
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Doctrine of Respondent Superior
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An employer is vicariously liable for the acts of an employee committed within the course and scope of employment
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State Worker Compensation Statutes
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if the employee is harmed in the workplace, the employer will be strictly liable for the harm of the employee, as long as the employee was doing what they were supposed to be doing