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Chapter 6 Notes: Torts (1/3)

by: jcsumlin

Chapter 6 Notes: Torts (1/3) ACCT 2700

Marketplace > Auburn University > Accounting > ACCT 2700 > Chapter 6 Notes Torts 1 3
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About this Document

This is the first weeks notes on the subject of torts with Robert H. Cochran Chapter introduction: Two notions serve as the basis of all torts: wrongs and compensation. Tort law is designed to...
Business Law
Robert Hollis Cochran
Class Notes
business law, chapter 6, torts, part 1, Robert H. Cochran




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This 2 page Class Notes was uploaded by jcsumlin on Thursday March 3, 2016. The Class Notes belongs to ACCT 2700 at Auburn University taught by Robert Hollis Cochran in Spring 2016. Since its upload, it has received 31 views. For similar materials see Business Law in Accounting at Auburn University.


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Date Created: 03/03/16
Chapter 6 Notes: Torts 1/2 Thursday, March 3, 20167:22 PM - If the constitution stands for nothing else, it is designed to make the government leave us the hell alone For the next exam not responsible for “Tort Reform” section in the textbook - Tort (French for wrong) - A tort is a civil wrong for which the law provides a remedy. ○ There is always a remedy provided, and doesn’t have to be money ○ The idea of a tort is to make the person injured/victim "whole again" - Vicarious Liability: where an employer is liable for the torts of their employees. *greatest risk of torts for businesses* ○ Businesses are targeted the majority of the time because they are the most able to compensate ○ If the employee commits a tort while "on the job" the employer is liable ○ The tort doesn’t have to be intentional Basis of Tort Law - Types of damages ○ Compensatory (Actual or "out of pocket") ○ Consequential - Theoretical loss, wage, pain & suffering ○ General - for something other than a direct monetary loss ○ Punitive - punishing wrongdoers  Only appropriate when the defendant's conduct was particularly egregious  Available in an intentional tort, and rarely in negligence lawsuits ○ Special damages compensate the plaintiff for quantifiable monetary losses.  Such losses might include medical expenses, lost wages and benefits (now and in the future), extra costs, the loss of irreplaceable items, and the costs of repairing or replacing damaged property. - Types of reform ○ Limiting the amount of both punitive damages and general damages that can be awarded. ○ Capping the amount that attorneys can collect in contingency fees (attorneys’ fees that are based on a percentage of the damages awarded to the client— see Chapter 3). ○ Requiring the losing party to pay both the plaintiff’s and the defendant’s expenses. - Federal Reform ○ Jurisdiction over large interstate torts ○ Usually in class action lawsuits: a lawsuit in which a large number of plaintiffs bring the suit as a group. Product liability suits involve the manufacture, sale, and distribution of dangerous and defective goods. - Tortfeasor - The person who commits a tort, which was intended to be committed, or the person knew significant harm would come as a result of actions - Transferred Intent - when someone intends to harm person "A" but ends up harming person "B" - Intentional Torts Against Persons ○ To be actionable (capable of serving as the ground for a lawsuit), the act must be extreme and outrageous to the point that it exceeds the bounds of decency accepted by society. ○ Assault and Battery (2 separate torts)  Assault: raising the fear to the point of eminent contact or harm □ NO CONTACT NECESSARY  Battery: the intentional or unexcused harmful/offensive/unwelcome physical contact □ Plaintiff may be compensated for physical and emotional harm/damages ○ False Imprisonment - the confinement or restraint of another person's activities without justification  Merchants can detain customers with probable cause □ i.e. Shoplifting  Merchant Protection Statute: A merchant may detain a suspected shoplifter or thief without being subject to a claim of False Imprisonment if: □ The confinement is made with probable cause, □ The confinement was for a *reasonable time (~30 mins), and □ The investigation (including confinement) of the matter was conducted in a *reasonable fashion. ○ Intentional Infliction of Emotion Distress  Extreme and outrageous  Results in severe emotional distress in another. □ Most courts require some physical symptoms or illness ○ Defamation: wrongfully hurting a person's good reputation.  The law says that it is our duty to not make false statements of fact of others □ The statement must have been intended to have harm the plaintiff's reputation □ The statement must also have been published to at least one person other than the plaintiff  Orally breaching this duty is slander; breaching this in print or media is libel □ Opinions do not hold as defamation □ Actual damages must be proven to recover form slander  The plaintiff must prove special damages □ Damages are presumed for libel therefore making it easier to recover from  General damages are designed to compensate the plaintiff for nonspecific harms such as disgrace or dishonor in the eyes of the community □ Truth is generally an absolute defense □ In regards to public figures, a plaintiff must show that the statement was made with "actual malice"  This is extremely difficult for a public figure to prevail ○ Invasion of privacy: A person has a right to solitude and freedom from prying public eyes  Appropriation of identity: Using a person’s name, picture, likeness, or other identifiable characteristic for commercial purposes without permission is also an invasion of privacy. (unless it's newsworthy) ACCT 2700 Page 1 newsworthy)  Intrusion of Individual's affairs of seclusion: Invading someone’s home or searching someone’s briefcase or laptop without authorization is an invasion of privacy. Can also include eavesdropping or unauthorized wire taps  False light: Publication of information that places a person in false light (except for political purposes)  Public disclosure of private facts: when a person publicly discloses private facts about an individual that an ordinary person would find objectionable or embarrassing. ○ Abusive or Frivolous litigations  Protection from being sued without just and proper reasons  Can be applied to any person trying to use the legal process against another in an improper manor ○ Wrongful interference with a contractual relationship occurs when  The defendant knows about the contract between person "A" and "B"  And they intentionally induce either "A" or "B" to breach the contract;  And Defendant benefits from the breach ACCT 2700 Page 2


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