Business Law - Unit 4

Tort Law

Civil wrong that causes harm or loss and results in legal liability

Purpose of Tort Law

Compensate injured parties for losses caused by another's wrongful act

Compensatory Damages

Damages intended to compensate the injured party

Special Damages

Quantifiable losses such as medical bills and lost wages

General Damages

Non-economic losses such as pain and suffering

Punitive Damages

Damages intended to punish and deter wrongdoing

Intentional Tort

Tort requiring intent

Transferred Intent

Intent transfers from intended victim to actual victim

Assault

Intentional threat creating reasonable fear of harmful contact

Battery

Intentional harmful or offensive physical contact

False Imprisonment

Intentional confinement without justification

IIED

Extreme and outrageous conduct causing severe emotional distress

Defamation

Wrongfully harming another's reputation

Slander

Oral defamation

Libel

Written defamation

Elements of Defamation

False statement, about plaintiff, harms reputation, publication, actual malice if public figure

Actual Malice

Knowledge statement is false or reckless disregard for truth

Opinion vs Fact

Only false statements of fact are defamatory

Trespass to Land

Unauthorized entry onto another's land

Trespass to Personal Property

Interference with another's personal property

Conversion

Wrongfully possessing or using another's property as your own

Disparagement of Property

False statements harming another's property or business

Negligence

Unintentional tort based on careless conduct

Four Elements of Negligence

Duty, breach, causation, damages

Duty of Care

Legal obligation to act reasonably

Reasonable Person Standard

How a reasonable person would act under similar circumstances

Business Invitee

Person invited onto property for business purposes

Causation in Fact

But-for causation

Proximate Cause

Foreseeable connection between conduct and injury

Foreseeability

Ability to reasonably anticipate harm

Good Samaritan Law

Protects voluntary emergency rescuers from negligence liability

Willingham v. Hudson

Doctor protected by Good Samaritan immunity after tornado emergency

Assumption of Risk

Plaintiff knowingly and voluntarily accepted a risk

Superseding Cause

Intervening event breaking chain of causation

Contributory Negligence

Plaintiff negligence completely bars recovery

Comparative Negligence

Recovery reduced by plaintiff's percentage of fault

Strict Liability

Liability without fault

Abnormally Dangerous Activities

Activities subject to strict liability because of extreme risk

Product Liability

Liability for injuries caused by defective products

Design Defect

Product defect caused by unsafe design

Manufacturing Defect

Product defect caused during production

Failure to Warn

Product defect caused by inadequate warnings

Dykstra v. Darling

Defamation case involving libel-proof plaintiff doctrine

Libel-Proof Plaintiff Doctrine

Person's reputation already so damaged that further defamation is impossible

Liebeck v. McDonald's

Product liability case involving extremely hot coffee and severe burns

Comparative Negligence in Liebeck

Plaintiff 20% at fault, McDonald's 80% at fault

McDonald's Coffee Temperature

Approximately 180-190°F when served

Product Defect

Product that is unreasonably dangerous due to design, manufacturing, or warning issues