Business Law 231

Front 1

What is Fault?

Back 1

refers to blameworthy or culpable conduct, conduct that in the eyes of the law is unjustifiable because it intentionally or carelessly disregards the interests of others

Front 2

What is Strict Liability?

Back 2

strict liability makes a person legally responsible for the damage and loss caused by his or her acts and omissions regardless of culpability ie. dog owners liability

Front 3

What is Vicarious Liability?

Back 3

involves the liability of an employer to compensate for harm caused by an employee (even if he has given strict instruction to take proper care)

Front 4

What does Negligence involve?

Back 4

negligence involves anyone who carelessly causes an injury to another should compensate the victim for that injury

Front 5

What are the elements of a Negligence action?

Back 5

1. Defendant owed Plaintiff a duty of care
2. Defendant breached that duty
3. Defendant's conduct caused injury to the Plaintiff
(all 3 are necessary)

Front 6

What is No-Fault?

Back 6

Gives no blame to the defendant, as they partook in an action people cannot be accountable for

Front 7

What is Product Liability, and what must the Plaintiff prove?

Back 7

product liability involves a product which is claimed to be defective, the plaintiff must prove duty of care and causation of damages

Front 8

What must the Defendant prove in a Product Liability case?

Back 8

must prove that they met the standard of care, and that the product met certain production standards

Front 9

What is the Burden of Proof, and whom does it fall upon?

Back 9

burden is on the Plaintiff, as he must prove his case by the balance of probabilities ie. injured party must only establish that the defendant's care or product physically caused the injury

Front 10

What is Contributory Negligence?

Back 10

involves negligent actions of an inured party that contributes to his own loss or injury

Front 11

What is Mitigation?

Back 11

it is important to note that the plaintiff is expected to act reasonably to minimize o mitigate any damage suffered

Front 12

What must be proven in a case of Inherently Dangerous Products?

Back 12

the product producer has a duty to warn, and the plaintiff must prove the 3 elements of negligence. mitigation is often taken into account as there should be an assumption of risk by the plaintiff, and therefore a consensual lowering of the standard of care

Front 13

Discuss the Relevance of Insurance

Back 13

When an injured party recovers first from his insurance company, the right to pursue the claim against the wrongdoer shifts to the insurance company ie. the claim it subrogated to the insurance company who stand in the shoes of the victim to sue the defendant and collect

Front 14

What is Occupiers Liability?

Back 14

based on the level of liability you have to people coming onto the property you own or occupy.
1. invitee's are owed the highest duty - remove hazards you are aware of
2. licensees are afforded less duty - remove concealed dangers
*note, 1&2 are very similar
3. trespassers are afforded the least duty - must not deliberately harm ie. set a trap or fire a gun

Front 15

What is Inducing Breach of Contract?

Back 15

involves convincing someone to break a contract with a 3rd party, both the person who induced the breach and the person who broke the contract become liable

Front 16

What is Deceit?

Back 16

involves intentionally misleading someone for your own benifit

Front 17

What is Conversion?

Back 17

involves the wrongful exercise of control over goods, inconsistent with the ownership

Front 18

What is Nuisance?

Back 18

unreasonable interference with someone else's use and enjoyment of land.
1. Public - interfering with enjoyment of a public space ie. park
2. Private - when you interfere with an occupiers use and enjoyment of their land

Front 19

What is Assault?

Back 19

the threat of violence - often resolved in criminal court, but attackers may be liable to compensate victim

Front 20

What is Battery?

Back 20

the act of physical harm - covers any type of violence, from guns to doctors practicing without consent

Front 21

What is Defamation?

Back 21

saying things about a person which hurts their reputation and causes damage.
Libel - written
Slander - spoken
need to prove a genuine and significant injury

Front 22

What are the 3 defenses of Defamation?

Back 22

1. Absolute Privilege - certain places allow you to make defamatory statements (house of commons)
2. Qualified Privilege - allowed to make statements, but only to warn, not to insult
3. Fair Comment - an honest belief, with supporting evidence, that the defamatory statement is true

Front 23

What is False Imprisonment?

Back 23

involves unlawfully restraining of confining another person

Front 24

Discuss Remedies

Back 24

to restore the plaintiff to a position they would have been in before the tort had been committed.
1. Restitution - order to restore a plaintiff's property
2. Injunction - order to restrain a person from continuing a particular act
3. Mandatory Injunction - order requiring a person to do a particular act

Front 25

What is Fiduciary Duty?

Back 25

a duty imposed on someone with a special relation of trust to another person ie. a professional service. once imposed, the fiduciary must act in the best interest of the beneficiary, even if it goes against their best interests

Front 26

What is Misrepresentation?

Back 26

compromised of either:
1. Statement - giving false information (expert opinion is treated as fact)
2. Negligent Omission - silence when there is a duty to speak

Front 27

Name the 3 types of Misrepresentation

Back 27

1. Innocent - no one was right
2. Negligent - professional was wrong when others competent experts in the same field would have been correct
3. Fraudulent - expert intentionally tried to deceive you

Front 28

Describe Negligent Misrepresentation

Back 28

1. owes a duty of care - mistake must be foreseeable and foreseen by misrepresenter
2. standard of care - set by other professionals in the field
3. reliance - must prove that you relied on the information and that it caused damages

Front 29

Describe Omissions

Back 29

duty to take reasonable care includes duty not to omit essential steps in providing professional services

Front 30

What are the elements of a Breach of Contract cause of action?

Back 30

1. there is a contract
2. the contract contains terms that requires the other party to fulfill an obligation
3. Other party did not do what was required by the contract, so compensation is owing

Front 31

What are the required Elements of a Contract?

Back 31

Offer - tentative promise made by the offeror
Acceptance - must be unqualified or the contract is nullified
Consideration - the 'price' of the contract (price for which the promise is bought)
Intent - intention to form a contract is presumed unless proved otherwise, burden of proof is on the side seeking to rebut the contract

Front 32

When does a contract Lapse?

Back 32

when the offeree fails to accept the offer within a reasonable or specified amount of time

Front 33

What is the difference between Bilateral and Unilateral Contracts?

Back 33

Bilateral - A promise to pay now for a service performed later
Unilateral - A contract usually given to many people, where acceptance is communicated by performance of the contract - Carlill v. Carbolic Smoke

Front 34

What is an Exception Clause?

Back 34

A clause in a contract which exempts a party from liability, or limits liability to a certain $ figure

Front 35

Explain Gratuitous Reduction of Debt (Foakes v. Beer)

Back 35

when you voluntarily reduce a debt so that someone pays you faster. if you don't receive the full amount then you still may sue, which makes forming a new contract about repayment critical

Front 36

Explain Void and Voidable

Back 36

Void - the contract never existed and parties are put back to pre-contract state (rescission of contract)
Voidable - contract can be rescinded at the worse-off party's choice

Front 37

Name the 3 ways to back out of a contract

Back 37

1. Diminished Capacity
2. Legality of Contract
3. Mistake or Misrepresentation

Front 38

What are the 3 different types of Misrepresentation

Back 38

1. Fraudulent
2. Negligent
3. Innocent
(all three make contract voidable)

Front 39

What is Duress?

Back 39

Coercing someone to form a contract through the use of force (Voidable)

Front 40

Describe Undue Influence

Back 40

depriving someone of independent will by coercing them to sign a contract through means other than force (Voidable)

Front 41

What is Mistake in Assumptions?

Back 41

1. Existence - a mistake in the existence of the subject matter (Void)
2. Value - if risk of change was not foreseeable the (Voidable)
3. Identity - face to face (Voidable), Long distance real person (Void), Long distance fake person (Voidable)

Front 42

What are the 3 possible Mistake about Terms?

Back 42

1. Inadvertence - words used, or not used, unintentionally (Voidable)
2. Meaning of the Words - contractual wording is clear but there are 2 different valid meanings (Void)
3. Error in Transcription -

Front 43

Minors - Void or Voidable?

Back 43

Voidable (other than life necessities)

Front 44

Corporations - Void or Voidable?

Back 44

Ultra Vires Contracts - out of company jurisdiction therefore Void

Front 45

Illegal/Enemy Aliens - Void or Voidable?

Back 45

Void

Front 46

Bankruptcy - Void or Voidable?

Back 46

Void when in bankruptcy

Front 47

Insane/Drugs/Alcohol - Void or Voidable?

Back 47

Voidable