BUSINESS LAW PAPER
All responses must be original at least 500-700 words, all reference must be listed.
Mark sued a bank for injuries. He was not paying attention as he entered the bank because he was looking at his phone. And he fell suffering $10,000 in injuries. Prior to the fall, the janitor had buffed the floor. The janitor had an IQ of 70. Normally, the janitor was closely supervised. However, today his manager was extremely tired, and the manager didn’t notice that the janitor had carelessly used way too much floor wax that was extremely slippery. Is the bank liable for the janitor’s negligence (be sure to go through all the elements.) Additionally, note that under the doctrine of respondeat superior the bank WILL be liable for any potential negligence of the janitor employee? What defenses will the bank assert? Assume that the jurisdiction does not recognize assumption of risk or contributory negligence. The jurisdiction does recognize the defense of comparative negligence.
2) Adverse Possession
Lisa and Danny are neighbors that live on Guerrero Street. Fifteen years ago Lisa built a gazebo. She frequently used the gazebo, but she was not aware that actually the gazebo was on property belonging to Danny. A month after the gazebo was built Lisa built a fence between her and Danny’s yard, and the gazebo was on Lisa’s side of the fence. Fifteen years later, Danny has a survey done, and he discovers that the gazebo is on his land. Danny brings a suit to evict Lisa from the land. Does Lisa have a defense? Assume that the state in question has an adverse possession period of ten years.
3) Constructive Eviction and the Implied Warranty of Habitability
Steve is renting a property from Billy. One evening Steve tripped and fell down the stairs. The issue is that one of the stairs in the common area was faulty. Billy knew about the stair, but he had never got around to fixing it.
Steve injured his leg, so he decided to return to his room. The heater was not working (and it was in the middle of winter). Steve had told Billy about the faulty heater for months, but Billy never got around to fixing it. There is a local ordinance that requires landlords to repair heaters. Additionally, assume that this jurisdiction includes the implied warranty of habitability. The jurisdiction recognizes constructive eviction, and it follows the majority rule of when landlords are liable for injuries.
•What causes of action does Steve have?
•What remedies does he have for the faulty heater?
4) Fiduciary Duties
Jimmy is the CEO of News Corp. His son, Johnny, runs Television Inc. One day Jimmy suggests that Johnny sell Television Inc. to News Corp. Jimmy and Johnny work together to radically inflate the value of Television Inc. Jimmy brings a proposal to the Board of Directors to buy Television Inc. for $500 million dollars even though the corporation is only worth $2 million. The board of directors diligently examines the transaction, but due to clever forgeries, the board does not discover the radical inflation of the corporation. Jimmy never discloses his relationship with Johnny. The sale goes through, and it is shortly discovered that Television Inc., is practically worthless.
•A shareholder sues alleging that Jimmy violated his fiduciary duty of loyalty.
•Additionally, the shareholder claims that the directors violated their fiduciary duties of care.
•Is the shareholder correct?
5) Breach of Contract
Johnny, a neighbor who is not a merchant under the Uniform Commercial Code, offers to buy a car from Mark for $30,000. Mark asks Johnny for some time to think about it. Johnny says sure. He writes on a piece of paper that he will keep the offer open for two weeks.
A week later Johnny sees another car he would rather buy. He purchases that, and then he tells Mark that he is revoking his offer.
Two days after that Mark said: “I’m sorry Johnny you made an offer in writing to buy my car. I’m going to hold you to that.”
Johnny replied: “Sorry I cannot do that. But I will promise to pay you $10,000 for the help you gave me last year around the house.” Somewhat mollified Mark accepts.
A week later and Johnny decided to renege on that promise as well.
Fed up, Mark sued Johnny for breach of contract on both the promise to buy the car and the promise for the $10,000.
•Discuss whether the elements of a contract are satisfied in this case.
Lisa is walking down the street in January when she notices a young man named Denny. Denny looks a little worse for wear, so Lisa offers to buy him lunch. As they are talking, Denny says to Lisa: “I’m in a pretty rough spot. I don’t have any money right now. But I promise to pay you $450 if you give me that coat you are carrying and some food (that sum represents the reasonable value of those items). Lisa responds: “How old are you?” Denny states that he is 20. However, this is a lie. Denny is actually 16. Lisa looks him over one more time, and she agrees to the exchange.
Before they leave, Denny says,"Actually, I will promise to give you another $50 if you let me borrow your bike."
Lisa writes down all of these promises into a contract. Both parties sign the contract, and they go to the bank and have it notarized.
•A week later Denny trashes the bike, and he tells Lisa that he is not going to pay. Lisa sues Denny in court for breach of contract, and she learns that he is only 16.
•What is likely to happen in the court case?