Shared Flashcard Set

Details

FIN 240 exam 2 court cases
sdsu buiness law class
23
Finance
Undergraduate 2
04/12/2011

Additional Finance Flashcards

 


 

Cards

Term
Dawes Critical Care v. DOL
and Microsoft
Definition
(PRINCIPAL/AGENT: EMPLOYEE/INDEPENDENT CONTRACTOR)
Converted employees to independent contractors in order to save money because then Microsoft wouldn’t have to pay taxes on them. Everything was the same for the employees except they had to get their own insurances. Because nothing changed when the employees were converted to independent contractors, they were still employees, DOL won.
Term
Penthouse v. Barnes
Definition
(IMPLIED AUTHORITY)
Pricilla Barnes (actress) posed for pictures for penthouse but didn’t want parents or high school chums to know about it. So they agreed to put down Pricilla Barnes aka. Therefore if penthouse used pictures they would have to use different name. She became famous and the magazine published the pictures with her name. Edunas, the principle photographer, had done that previously and had always honored the aka in the past. Therefore it was implied that since they had done it before that it still applied. Pricilla won.
Term
Williams v.
Inverness Corporation
Definition
(APPARENT AUTHORITY BY ESTOPPEL)
Different because it’s not something the agent does, it’s the principle that does something to hold the person out as their agent. If they represent someone as their agent they are stuck with them, they cannot deny having been their agent
Term
Hamilton Hauling, Inc. v. GAF
Definition
(IMPLIED AUTHORITY)
Purchasing agent (Bajt) entered into long-term contract to purchase woodchips from Hamilton on behalf of GAF. No prior relationship. Signed deal for HH to produce/ deliver to GAF, but he had no authority to bond a deal that big, HH sues GAF. GAF won in trial. HH should have asked for an incumbency certificate from the corporate secretary telling them that Bajt had the position that he said. Also to make sure not only that he is who he said he was but that he had the authority to sign-- Board Resolution- confirming that the deal had been approved by the board of directors (highest position). If they cannot get that then they need an opinion letter saying that they are capable of making the agreement.
Term
Bias v. Advantage Int’l
Definition
(AGENCY DUTIES- PERFORMANCE)
Bias was going to go into the draft by the agent with a lot of money. He died of an overdose before that could happen. Agent was supposed to get insurance on the life of Bias. His family sued because of the career ended injury. They breached the contract but they had not seen any money. The agent won because Bias would have flunked the physical if he was tested, it was well known that Bias was a drug user. His teammates were put on stand and said he probably would have flunked.
Term
Lazer v. Thermal
Definition
(RESPONDEAT SUPERIOR(let superior respond to damages)- ACTING WITHIN “SCOPE”)
Lazer operated a company truck 30 miles away from work. They let him take the truck home if the customer call was closer to his home. Generally driving to and from work is not considered “within the scope” but since his work was dispatched to his home it was “within the scope”. OUT OF SCOPE: frolic and detour. Lazer is driving home and gets off the expressway to get milk and food, while getting back on the expressway he got in an accident. This is still in scope because it was only a slight detour-something that everyone does on their way home.
Term
Sussman v. Florida Coast
Definition
(RESPONDEAT SUPERIOR- ACTING WITHIN “SCOPE”)
Company celebrated everyone’s birthday. Asked the employee to pick up a cake on the way into work (the commute to and from work is not in scope). To prevent the cake from falling while hitting the breaks she moved over and hit a pedestrian. She sued the company to pay because it was out of scope. She argued that because they asked her to get the cake. Florida coast won because it was considered to be out of scope.
Term
BMW v. Gore
Definition
(DAMAGES IN TORT CASES-PUNITIVE)
An individual bought a new BMW at a dealership. They then found out that while in transit the car suffered some damages. The dealer did not tell them about the damage. Gore sued for compensatory damages (about 4,000) as well as punitive damages because BMW was at a huge wrong in not telling the customer. Though the damages were only 4,000 Gore was awarded 4,000,000 with punitive damages.
Term
Cubby v. CompuServe
Definition
(INTENTIONAL TORTS-DEFAMATION)
Cubby was an internet service provider, subscription service. Upload to get feedback. One argued that the copy of the article was defamatory. Sued company and CompuServe. Should the service provider be responsible for what is posted? Court said no, not liable because the site doesn’t edit the documents
Term
Stratton Oakmont, Inc.
v. Prodigy Services
Definition
(INTENTIONAL TORTS-DEFAMATION) (Defenses/Public figures)
Similar but the internet service provider said it was family friendly and went under editorial review. If not appropriate then article removed. They edited it after it had already been available to users. Internet provider held responsible. They should have reviewed the document before sent out to public.
Term
Oprah Windfrey
v.Randall Cook
Definition
(INTENTIONAL TORTS-DEFAMATION) (Defenses/Public figures)
Cook claimed she was a drug user. She said he lied. Cook sued her. Oprah won on the grounds that what she said was an opinion not a statement. An opinion is not held at the same weight as a statement. But is he is a liar, really an opinion?
Term
Mitchell v. Globe Inc.
Definition
(PRIVACY TORTS)
A red light camera caught man and mistress in picture. Sent to his house, wife saw and sued him. Now person in passenger seat is blurred out.
Term
Gordon v. May Dept. Store
Definition
(FALSE IMPRISONMENT)
Retailers have the right to reasonably see if someone is stealing. You can check bags but not throw them against wall or interrogate for hours in a hot room.
Term
Knierem v. Izzo
Definition
(INTENTIONAL INFLICTION OF EMOTIONAL DISTRESS)
Brothers with same mother different fathers. Mother died, brother who lived near mother did not tell other brother. Brother missed the funeral. Sued his brother. Court said in a case like this, anguish is easy to fake. They said they were not inclined to award damages in a mental anguish case unless there was a physical manifestation, examples, unable to sleep, eat, etc.
Term
BGs case
Definition
(MISAPPROPRIATION)
The Beegees wrote their own music, but people still sent them ideas for songs. They wrote a song similar to a song that someone had sent in and were sued for misappropriation. The Beegees ended up winning but this illustrates that ides have value and need to be protected, patented
Term
Oprah v. Cattle Association
Definition
(INTENTIONAL TORTS AGAINST ECONOMIC INTEREST-DISPARAGEMENT)
Oprah said she wouldn’t eat hamburgers after the mad cow disease shit. The cattle association sued her. She won because she has good lawyers.
Term
Suzuki v. Consumer Reports
Definition
(INTENTIONAL TORTS AGAINST ECONOMIC INTEREST-DISPARAGEMENT)
Consumer reports reported the Suzuki Swift flipped easily in the wind or cornering, Suzuki sued for disparagement saying it didn’t flip that easily.
Term
Palsgraf case
Definition
(NEGLIGENCE TORTS- PROXIMATE CAUSE)
Most famous court case in tort history- from the 1920s involving long island railroad. There were a couple of young fellows running to get on the train. First got on train, second almost didn’t make it so someone helped push him on. Fireworks fell out of his pocket and blew up. Mrs. Palsgraf was injured and sued long island RR. Went to supreme court-- Benjamin Cardoza. Overturned because unforeseeable, he was only responsible for the proximate cause which is the pushing of the man and the dropping of the package.
Term
Real Estate Deal in Utah
Definition
(INTENTIONAL TORTS AGAINST ECONOMIC INTEREST-DISPARAGEMENT)
Construction finance given out as stuff gets done, they did the long term financing called take out finance with the obligation to take out a structured loan so long as there is no adverse change in the financial condition of the borrower (called a Mac Clause). This was an Internet company during the dot com era and the construction company wanted the financers to take the risk not them, but the financers refused. The Utah construction company began saying GE did not stand behind their deals and was not trustworthy. They then had the option to sue for disparagement since they had gotten out of the deal legally with a clause. They then talked shit on Graff (defamation) but corporate wouldn’t let him sue due to relations with other GE branches.
Term
Escola v. Coca Cola
Definition
(NEGLIGENCE TORTS- RES IPSA LOQUITUR– the thing speaks for itself)
Coca cola bottle spontaneously bursting. Should this happen? No. there was a flaw in the glass.
Term
Graff v. Buick
Definition
(MODIFIED COMPARATIVE NEGLIGENCE)
Buick hit Graff when Graff was making a left turn because he was using left hand turn lane as through lane. Buick was more at fault, but insurance companies settled it
Term
McDonalds v. Liebeck
Definition
(NEGLIGENT FAILURE TO WARN)
Liebeck bought coffee, put it between her thighs. She made a turn and the top popped off and burned her thighs. She sued and recovered $240000 in compensative and 2.2 mil in punitive. The coffee was 190 degrees, other hot drinks sold at 140 degrees. She suffered third degree burns. Not the first time this had happened. -- McD's should have had a sleeve with a warning, because not being for warned= not guarded or aware of risks.
Term
Brown v. Williams
Definition
(ASSUMPTION RISK)
Williams was using a trencher and tires decompressed launching him into the air and falling on him and killed him. His widow sues. Brown Co. argues that it was an assumption of risk. -- there should have been a safety valve on the machine that detects things like this and prevent the tires from compressing. Williams won under design problem.
Supporting users have an ad free experience!