chapter 7: negligence and strict liability

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TWELFTH EDITION. Chapter 7: Negligence and Strict Liability. Clarkson  Miller  Cross . BUSINESS LAW. TEXT AND CASES. Legal, Ethical, Global, and Corporate Environment. §1: Negligence. Tortfeasor does not intend the consequences of the act or believes they will occur. - PowerPoint PPT Presentation

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Page 1: Chapter 7:  Negligence  and Strict Liability
Page 2: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Tortfeasor does not intend the consequences of the act or believes they will occur.

Actor’s conduct merely creates a foreseeable risk of injury.

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Page 3: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Analysis:Duty: Defendant owed Plaintiff a duty

of care;Breach: Defendant breached that duty;Causation: Defendant’s breach caused

the injury;Damages: Plaintiff suffered legal injury.

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Page 4: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Defendant owes duty to protect Plaintiff from foreseeable risks that Defendant knew or should have known about.A foreseeable risk is one in which the

reasonable person would anticipate and guard against it.

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Page 5: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Duty of Landowners to warn invitees, exercise reasonable care.Landlords owe duty of reasonable care

to tenants and guests for common areas such as stairs and laundry rooms.

CASE 7.1 McClain v. Octagon Plaza, LLC. (2008). Can a landlord be liable for negligent misrepresentation about the size of a leased space?

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Page 6: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Duty of Landowners (continued). Duty to Warn Business Invitees of

Foreseeable Risks (knew or should have known).

EXCEPTION: Obvious Risks.

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Page 7: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Duty of Professionals. Professionals may owe higher duty of

care based on special education, skill or intelligence.

Breach of duty is called professional malpractice.

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Page 8: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

No Duty to Rescue.Law requires individuals to act

reasonably, but there is no duty to rescue (or warn, or come to the aid of another), unless there is a special relationship of trust.

However, if rescue is attempted, the law requires due care and follow through.

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Page 9: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Even though a Tortfeasor owes a duty of care and breaches the duty of care, the act must have caused the Plaintiff’s injuries. Causation is both:Causation in Fact, andProximate Cause.

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Page 10: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Did the injury occur because of the Defendant’s act, or would the injury have occurred anyway?

Usually determined by the “but for” test, i.e., but for the Defendant’s act the injury would not have occurred.

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Page 11: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

An act is the proximate (or legal) cause of the injury when the causal connection between the act and injury is strong enough to impose liability.

CASE 7.2 Palsgraf v. Long Island Railroad Co. (1928). Were the plaintiff’s injuries foreseeable?

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Page 12: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

To recover, Plaintiff must show legally recognizable injury.

Compensatory Damages are designed to reimburse Plaintiff for actual losses.

Punitive Damages are designed to punish the tortfeasor and deter others from wrongdoing.

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Page 13: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Assumption of Risk. Superseding Intervening Cause. Contributory or Comparative

Negligence.

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Page 14: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Plaintiff has knowledge of the risk, and voluntarily engages in the act anyway.

Defense can be used by participants, as well as spectators and bystanders.

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Page 15: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Assumption of the risk can be express or implied.

Express by agreement. Implied by plaintiff’s knowledge of

risks and subsequent conduct. CASE 7.3 Pfenning v. Lineman (2010).

Is the driver of a beverage cart a “participant” at a golfing event?

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Page 16: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

A unforeseeable, intervening act that breaks the causal link between Defendant’s act and Plaintiff’s injury, relieving Defendant of liability.

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Page 17: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Under common law doctrine of contributory negligence, if Plaintiff in any way caused his injury, he was barred from recovery.

Most states have replaced contributory negligence with the doctrine of comparative negligence.

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Page 18: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Comparative negligence computes liability of Plaintiff and Defendant and apportions damages.

Pure Comparative Negligence States (California and New York): allows Plaintiff to recover even if his liability is greater than that of Defendant.

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© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Modified Comparative Negligence States: percent of damages Plaintiff causes herself are subtracted from the total award.50 Percent Rule: Plaintiff recovers only if

liability is less than 50%.51 Percent Rule: Plaintiff recovers

nothing if liability is greater than 50%.

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Page 20: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Res Ipsa Loquitur.Facts and circumstances create

presumption of negligence by Defendant.

Burden of proof shifts to Defendant to show he was not negligent.

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Page 21: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Negligence Per Se occurs when Defendant violates a statute designed to protect Plaintiff:Statute sets out standard of care.Plaintiff is member of class intended to be

protected by statute.Statute designed to prevent Plaintiff’s injury.

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Page 22: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

“Danger Invites Rescue” Doctrine. Good Samaritan Statutes. Dram Shop Acts.

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Page 23: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Development of Strict Liability.Theory of strict liability started with

Rylands v. Fletcher (1868 England).Defendant’s liability for strict liability is

without regard to: Fault, Foreseeability, Standard of Care or Causation.

Strict liability based on abnormally dangerous activities is one application.

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Page 24: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Ultraharzardous or abnormally dangerous activities:Involve serious potential harm;Involve high degree of risk that cannot

be made safe; andAre not commonly performed in the

community or area.

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Page 25: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Wild Animals: Persons who keep wild animals are

strictly liable for injuries caused by the beast.

Persons who keep domestic animals are liable if the owner knew or should have known that animal was dangerous.

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Page 26: Chapter 7:  Negligence  and Strict Liability

© 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Product Liability: manufacturers can be found liable without regard to fault (see Chapter 22).

Bailments: when goods temporarily transferred to another (see Chapter 49).

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