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by: Amos Schumm

HospitalityManagementLaw HRT240

Amos Schumm
CSU Pomona
GPA 3.83


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This 23 page Class Notes was uploaded by Amos Schumm on Saturday October 3, 2015. The Class Notes belongs to HRT240 at California State Polytechnic University taught by EdwardPerez in Fall. Since its upload, it has received 22 views. For similar materials see /class/218210/hrt240-california-state-polytechnic-university in OTHER at California State Polytechnic University.


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Date Created: 10/03/15
Chapter 1 Law A body of rules to which people must conform their conduct A form of social control A set of rules used by judges in deciding disputes 0 Law consists of rules that require people to meet certain standards of conduct and are enforceable in court Principles of Hospitality Law 0 Restaurants 000 Bars Hotels inns BampB s motels Airlines Cas1nos Amusement Parks Theaters Night Clubs Sports Facilities Sources of law 0 Constitutional law Delegated powers I Expressly allocated to the federal government in the constitution I Interstate commerce I Business affecting more than one state I Legislative process I Method by which Congress adopts laws 0 Statutory law I Law promulgated by legislators and generally agreed to by the executive power I Statute 0 Law adopted by federal or state legislature I Ordinance 0 Law adopted by local legislature 00000000 0 Common law I Consists of legal rules that evolved from decisions of judges and from custom and practice I Precedents 0 Case decision I Interpretation of the law applied by a judge to a set of facts in a given case 0 Precedent I Case decision becomes precedent o Stare decisis I Process of following earlier cases gives some uniformity to the law 0 Administrative law Laws that define powers limitations and procedures of administrative agencies I Administrative agency 0 Governmental subdivision charged with administrating legislation that applies to a particular industry I Regulations 0 Laws adopted by agencies I Oversees food and pharmaceutical industries 0 FCC I Oversees the communicationsbroadcasting industry 0 Consumer Product Safety Commission I Policies the safety of consumer products Role of judge Makes law in cases where no precedent or statute exists 0 Interprets the law in cases where a statute applies I Appellate judges I Review decisions of other judges Civil Law 0 Wrong done to an individual Criminal Law 0 Wrong considered to be in icted on society Objectives 0 Civil lawsuit I Compensation for an injury 0 Criminal lawsuit I Punishment for wrongdoer Contract 0 An agreement between two or more parties that is enforceable in court Torts o Negligence I Breach of a legal duty to act reasonably o Trademark infringement I Use of another company s business name or logo without permission 0 Fraud I Intentionally untruthful statement made to induce reliance by another person Remedies o Remedy sought by the injured party in a civil case is damages money 0 Compensatory damages I Money given to compensate for injuries I Includes outofpocket expenses Medical bills Lost wages Pain and sufferin Physical distress or mental anguish I Loss of enjoyment of life Punitive damages 0 Money in excess of compensatory damages 0 Punish or make an example of the defendant 0 Awarded only in cases where defendant s wrongful acts are aggravated by violence malice fraud or a similar egregious Q a D 0 Theft of services I Using services e g hotel room without paying and with intent to avoid payment 0 Assault I Intentionally putting someone in fear of harmful physical contact 0 Batter I Causing harmful physical contact to a person Penalties and Remedies 0 Community service 0 Fines o Probation I Criminal offenders remain out of jail supervised by probation officer 0 Death in some states Identify four elements as you read the case acts I Circumstances that gave rise to the lawsuit 0 The issue I Legal question that the parties want resolved 0 The judge s decision udge s response to the issue 0 The reasoning supporting the decision I Basis and rationale for the decision Chapter 2 Variety of Resolutions 0 Lawsuits I Settled before lawsuit is begun I Heard in court I Settled after lawsuit is begun Claim 0 Demand for remedy usually money to compensate for a perceived wrong Parties and proof arties I Individuals engaged in conflict 0 Plaintiff I Party who initiates lawsuit 0 Defendant I Party being sued 0 Plaintiff must prove I Defendant violated the law I Plaintiff suffered an injury or loss I Cause of injury or loss was defendant s violation of the law Lawsuit Process Complaint I Document issued by plaintiff that contains allegations I 3 parts 0 Statement showing the jurisdiction of the court uthority of a court to hear a case I Personam jurisdiction I Authority of a court to determine a case against a particular defendant 0 Details about why plaintiff is suing the defendant I The complaint must explain to the defendant and the court the circumstances comprising the plaintiffs claim Contains allegations detailing the reasons why the plaintiff is suing the defendant 0 Claim for relief usually a request for mone I The complaint must tell the defendant and the court what the plaintiff wants from the defendant I Plaintiffs in civil cases customarily seek relief in the form of money 0 Summons 0 O O I Documents ordering the defendant to appear and defend the allegations made against them I Served with complaint Service of process I Delivery of summons and complaints to the defendant I Filed with the court in most states I Specially appointed agent of the court serves them on the defendant I Responses to the Complaint Defendant must I File motions addressed to some defect in the complaint I If no defect exist file an answer to the complaint Preliminary motions I Request to a judge for relief while a lawsuit is ongoing Ma e in writing 0 Extension of time 0 Request to clarify allegations o Dismissal of lawsuitbecause the court lacks jurisdiction I The answer I Defendant must serve within the permissible time period Fulfills following purposes mits or denies allegations 0 Sets forth any defenses the defendant may have to the plaintiffs claim 0 States any claims the defendant may have against the plaintiff Motions directed to the answer Plaintiff is entitled to make motions relating to the answer I May move for a more definite statement if answer is vague I May move to strike all or part of the answer if information is redundant or immaterial I Reply I Only if the answer contains a counterclaim I Plaintiff must issue a re 1 o Relays plaintiff s response to the allegations in the counterclaim I Pleadings I Complaint I Answer I Reply I Summary judgment I All motion relating to the pleadings have been made and ruled on by the judge I Either party may make a motion for a summary judgment Pretrial procedure I Discovery I Process by which each side obtains evidence known to the other side I May include o Interrogation I Written questions 0 Deposition Oral questions Inspection of physical evidence Review of documents or other evidence held by the adverse party or by a potential witness Mental or physical condition of one of the parties I Pretrial conference I Judge and opposing lawyers meet to prepare for trial I Judge encourages parties to reach a settlement Settlement I Resolution of a dispute without a trial 0 The trial procedure I Selection ofjury I Opening statements I Presentation to the jury outlining the proof a lawyer expects to present during the trial I Plaintist caseinchief I Testimony 0 Direct examination by the party who calls the witness o Crossexamination by opposing counsel Redirect examination by party who originally called witness I Defendant s caseinchief I Testimony 0 Direct examination by the party who calls the witness o Crossexamination by opposing counse Redirect examination by party who originally called witness I Plaintiff s case in rebuttal I Presented after the defense has concluded its case I Summation I After the casesin chief and plaintiffs rebuttal I Attorneys summarize the case for the jury closing statements I Judge s charge to the jury I udge informs the jury of the law applicable to the case I Jury s deliberations I Detailed discussions of the case that may result in a verdict 0 Determination of the facts 0 Determination of how the law applies to the facts I Verdict I Jury s decision in a case I In most states a decision must be unanimous I H jury 0 Less than the necessary number of jurors in agreement I Judgment I Official decision of a judge about the rights and claims of each side in a lawsuit I Verdict is not binding until a judgment has been entered I Ask for judgment notwithstanding the verdict Order from judge reversing the jury s verdict I Ask for a new trial on the grounds of an erroneous ruling of the judge during the trial I Ask for a remittiur o Ruling that the amount of money awarded by the jury was unreasonable I Appeal I Complaint made by a litigant to a superior court that a trial judge committed an error I Appellate Courts I Courts that hear appeals I No juries I Three to 9judges I Can do any of the following I Affirm the decision of the lower court judgment stands I Reverse the decision of the lower court and order a new trial I Order that the case be dismissed Jury trial 0 Tried by jury Bench trial 0 Heard by judge Voir dire 0 Examination of prospective jurors Chapter 3 Discrimination o The act of treating some people different from and less favorably than others regarding I Access to places of public accommodation I Employment 0 Common Law I A hotel with vacancy cannot refuse accommodations to any guest desiring to stay at the inn Civil Rights Act of 1964 0 Civil Rights I The personal rights that derive primarily from the Constitution 0 Freedom of speec 0 Freedom of contract 0 Privacy 0 Due process 0 As originally passed outlawed discrimination on basis of I Race I Color I Religion I National origin e uent amendment added gender 0 Outlawed discrimination in four types of establishments I Hote s I Restaurants I Places of entertainment Gas stations 0 General intent and purpose End discrimination in hospitality facilities I Eliminate I unfairness and humiliation of racial bigotry I Inconvenience for blacks who wished to dine out or travel 0 Classes still unprotected arital status I Disability now protected by Americans with Disabilities Act I Sexual orientation 0 Facilities must be engaged in interstate commerce I Interstate commerce I Business transactions between people or companies from two or more states Lodging for Transients o vernight accommodations covered by the Act I Any inn hotel motel or other establishm ent that provides lodging to transient guests I Places that rent rooms not only by night but also weekly Dining Facilities 0 Covered by the Act are Any restaurant cafeteria lunchroom lunch counter soda fountain or other facility principally engaged in selling food for consumption on the premises I Also included drivein restaurants retailstore lunch counters sandwich shops lunch counters at golf courses food facilities at hospitals and similar establishments Places of Entertainment 0 Act prohibits discrimination in I Any motion picture house theater concert hall sports arena or other place of exhibition or entertainment I Also includes sports stadium auditorium staging a rock concert and establishments that provide recreational activities in which patrons actively participate Bowling alleys health spas beach clubs and golf clubs Jurisdiction through Interstate Commerce 0 I Most guests are travelers some will be from out of state 0 Restaurants If it serves interstate travelers or if a substantial portion of the food it serves was transported from out of state Serving Interstate Travelers Unlike hotels food establishments do not inquire whether patrons are from out of state 0 Deemed to serve interstate travelers I Dining facilities located near a federal highway I Coffee shop in a hotel I Dining facility that advertises in a magazine delivered to hotelsmotels for distribution to guests or advertises on the radio Food Moved in Interstate Commerce 0 A dining facility not serving interstate travelers will still be covered under the Act if a substantial portion of the food it serves is imported from another state Places of Entertainment 0 A theater or stadium affects interstate commerce if I It regularly presents movies performances exhibits athletic teams or other sources of entertainment that originate in other states Relief 0 The Act provides limited relief I Money is not recoverable I Tnjunctive relief I Court order that requires a defendant to refrain from doing a particular act I Reasonable attorney s fees charged by the attorney for a successful plaintiff Exempt Establishments o Bedandbreakfast 0 Private clubs BedandBreakfasts o Exempt if 0 Five or fewer rooms 0 Occupied by proprietor o Allows proprietors who admit transients into their home to retain discretion and control over who sleeps in their home Private Clubs 0 A club is determined to be a private club if I The club is selective in choosing its members I New members are sought discreetly I The club has clearly designated criteria for choosing members and members participate in the selection process Members govern and control the club s operations Extending Civil Rights Protection 0 State Civil Rights Laws I Most every state has a civil rights law that duplicates the Act o In part expands its coverage I Covered facilities I Places of public accommodation I Bars stores clinics hospitals barber and beauty shops libraries schools colleges public halls public elevators public institutions for the care of neglected or delinquent children garages and public transportation 0 State statutes customarily expand the categories of protected classes 0 Usually include Marital status and disability I Some statutes and local ordinances include sexual orientation Advertisements Many state statutes prohibit advertisements that contain statements or suggestions express or implied that accommodations will be denied because of a protected characteristic Remedies 0 Under federal Act remedies are limited and primarily injunctive I State remedies more expansive I Damages I Violation of many state civil rights laws is deemed a crime Americans with Disabilities Act 0 Passed by Congress in 1991 0 Purpose is to I Provide a clear and comprehensive national mandate for the elimination of discrimination against individuals with disabilities Provide clear strong consistent and enforceable standards addressing discrimination against individuals with disabilities Prohibits places of accommodation from discrimination of the basis of disability I Applies to hotels restaurants places of entertainment and service stations I Also included bars stores service establishments such as barber and beauty shops laundromats banks public transportation schools and colleges Defines discrimination as O I Including a failure to make reasonable modifications in policies practices or procedures when such modifications are necessary to provide goods services or accommodations to disabled people 0 Disability is defined as I A physical or mental impairment that substantially limits one or more of the major life activities of the disabled person I Major life activity refers to An activity of central importance to most people s daily lives and includes conduct such as walking seeing hearing speaking breathing working or caring for oneself 0 Does not apply to private clubs 0 Defined in the same manner as under the Civil Rights Act of 1964 Mandates Not Permitted for Disabled Guests Only 0 Disabilities Act is violated if the provision of services to people with disabilities is conditional upon requirements that are not imposed on others Modifying Rules to Accommodate the Disabled 0 Where the policies or practices of a place of public accommodation have the effect of discriminating against people with disabilities the place of public accommodation must change its policies or practices unless the modification would fundamentally alter the nature of the goods or services provided Structural Modifications for Existing Buildings 0 Disabilities Act contains requirements concerning accessibility of facilities 0 Structural obstacles often preclude access by disabled persons to buildings open to the public 0 For existing buildings not undergoing renovations the Disabilities Act requires places of public accommodation to undertake the removal of barriers if doing so is readily achievable Readily Achievable 0 Defined as easily accomplished without much difficulty or expense 0 Barrier removals that are considered readily achievable include I Lowering of telephones I Adding raised letters and Braille markings on elevator control buttons I Adding grab bars in bathrooms provided only routine reinforcement of the wall is required Rearranging tables in a restaurant to permit wheelchair passage Ramping of a few steps Properly designating handicappedaccessible parking spaces Replacing door handles that are not easy to grasp with one hand or that require tight grasping or twisting of the wrist to operate Similar modest corrections Where removal of a barrier is readily achievable failure to remove it constitutes illegal discrimination Structural Requirements during Construction 0 New facilities and buildings undergoing renovation must be constructed in such a way that they can be approached entered and utilized easily and conveniently by people with disabilities New Hotel Requirements All doors and doorways must be designed to allow passage by a wheelchair Bathrooms need to be sufficiently wide to allow use by people in wheelchairs A percentage of each class of hotel rooms must be fully accessible including grab bars in the bathroom and at the toilet Audio loops are required in meeting areas Emergency ashing lights or alarms are needed in hotel guest rooms Braille or raisedletter words and numbers are required on elevators and signs Handrails must be installed on stairs and ramps Transportation and Telecommunications Disabilities Act requires that I Businesses offering transportation attempt to make their facilities accessible to the disabled I Companies offering telephone service provide telecommunication devices for the deaf that will permit a hearing impaired person to communicate with anyone in this country who has a telephone Legal Action Directed at Noncompliance 0 Two types of lawsuits can be brought under the Disabilities Act Private action 0000000 I B individuals I Lawsuit by the Department of Justice Age Discrimination 0 Age is a classification not protected in places of public accommodation by the Act 0 Not normally illegal to treat varying age groups differently in such places Gender Discrim ination Not outlawed by Civil Rights Act of 1964 0 Under some circumstances women can obtain redress for discrimination through the Fourteenth Amendment I Fourteenth Amendment I States Nor shall any state deny to any person within its jurisdiction the equal protection of the laws I Virtually all states now have state statutes that prohibit discrimination in places of public accommodation based on gender 0 Like the Civil Rights Act of 1964 most state civil rights acts exempt private clubs I As with the Act the issue arises whether an establishment is public or private 0 Gender discrimination in places of public accommodation is less prevalent today Rights of Proprietors o The law does not prohibit discrimination against classes of people not included in the protected classes I For example no law offers protection in places of public accommodation to people who are dressed in jeans or males not wearing shirts o Permissible to Remove a Disorderly Person I Removal of a restaurant patron who is acting disorderly does not violate the civil rights laws 0 Reasonable Rules of an Establishment I Management of a service establish ment like any other business typically adopts rules to maintain order and express the philosophy of its management 0 Retaliatory Exclusion ten when a customer sues a hotel or restaurant he or she is disinclined to return to the establishment for service I When a plaintiff does seek service after commencing a lawsuit the facility is not obligated to accommodate the wouldbe patron o Ejection of Objectionable Persons and Trespass I Patrons who enter the premises despite a warning not to may be guilty of criminal trespass Chapter 4 Contract Elements of a Contract I Certain essential elements must exist for the contract to be valid I Contractual capacity I The ability to both 0 Understand the terms of the contract Appreciate that failure to perform its terms can lead to legal liability I People who lack contractual capacity 0 Viewed by the law as having diminished mental abilities Minors under 18 19 or 21 depending on state Very intoxicated Mentally incompetent 000 I Mutuality I All parties to the contract are interested in its terms and intend to enter an agreement to which they will be legally bound 0 Offer I A proposal to do or give something of value in exchange for something else I Offerer o The person who makes an offer I Offeree 0 Person to whom the offer is made Offer must be definite 1f terms are vague contract may not result Invitation to negotiate 0 Open discussions that may or may not lead to an offer Responses to an Offer 0 Acceptance I An expression of agreement by the offeree to the terms of the offer 0 Counteroffer I The offeree is interested in the offer but wants to change a few terms I Legality I Terms of the contract must be legal I Void contract 0 One that is unenforceable in court I Pricefixin o Competing hotels agree among themselves to each charge the same amount for a room I Antitrust laws 0 Guarantee that competitors will not undersell each other with the effect of depriving consumers of the benefits of competition I Consideration I Something of value exchanged for something else of value I Can take one of three forms 0 A tangible item of value or a promise to give such an item 0 Performance or a promise to perform 0 Forbearance I Agreeing to refrain from doing something you have a legal right to do I Proper form I Is an oral contract enforceable 0 General rule is yes however may be difficult to prove I Genuine assent o Voidable Contract One that may be canceled at the option of one party I Right to cancel also called the right to avoid or disaffirm o Illusory Contracts e terms of the contract do not contain a firm commitment Statute of Frauds 0 Objective is to prevent the perpetuation of a fraud by someone claiming that a contract exists when in fact none does 0 Some contracts must be in writing I Contracts for the purchase and sale of real property I Contracts that cannot be completed within one year from when they are made I Contracts to pay another person s debt if that person fails to pay I Contracts for the sale of goods Parol Evidence Rule 0 Prevents the parties from modifying a written contract using evidence of oral agreements made prior to signing the written contract 0 Does not apply to agreements made after a contract is signed Genuine Assent The parties must genuinely agree to the contract terms 0 Duress I Threats of harm if they do not sign I Frau I Intentionally untruthful statement made for the purpose of misleading someone I Innocentmisrepresentation An untruthful statement that the speaker believes to be accurate Mistakes 0 Some mistakes have legal significance others do not 0 Mistakes made by a buyer as to the value or quality of a good being purchased will not affect the validity of the contract 0 Unilateral mistake rror made by only one party to the contract 0 Mutual mistake I Error made by both parties to the contract 0 Ambiguous Terms I Important to state terms of the agreement clearly without ambiguity I If terms are vague or confusing it could result in court disputing the meaning I Careful drafting can avoid such lawsuits Trade Usage 0 Practices or modes of dealing generally adhered to in a particular industry such that an expectation arises that they will be honored in a given transaction Conditions 0 Absolute I In most contracts promises of the parties to perform their contractual obligations o Contingent I Relies on the occurrence or nonoccurrence of a specified event Contracts Formed on the Internet 0 Virtually every type of commercial deal can be and is pursued via the Internet 0 How valid are these contracts entered in cyberspace I As a general rule as enforceable as their landbased counterparts I Clickon acceptance I Generally considered to be signed consent Breach of Contract 0 Failure to perform as required by a contract 0 Civil wron o Nonbreaching party may be entitled to a remedy I Damagesimoney to compensate for resulting loss I Specific performanceiperformance of the contract terms Compensatory Damages 0 Sum of money necessary to cover loss incurred by the nonbreaching party as a result of the breach 0 Nonbreaching party generally not entitled to damages for pain and suffering Requirement of Foreseeability o A plaintiff seeking to collect damages for breach of contract must prove that the damages were foreseeable to the breaching Party Requirement of Reasonable Certaint 0 Plaintiff in a breachofcontract case must prove to a reasonable certainty that they suffered a loss as a result of the breach Duty to Mitigate 0 Plaintiff seeking to collect damages for breach of contract must prove that it attempted to mitigate its loss 0 Mitigate I Reduce or lessen Punitive Damages 0 Sum of money sometimes awarded to a plaintiff o In excess of compensatory dama es 0 Meant to punish the defendant for wanton or malicious behavior Specific Performance 0 A court order requiring the defendant to perform the act promised in the contract 0 Applicable only to contracts involving the sale of unique oneof akind items Contracting for a Room ontract for a room between innkeeper and guest must satisfy the essential elements 0 Most contracts for hotel rooms begin with an invitation to negotiate from a wouldbe guest I Offer is then often made by the hotel or guest I Agreement should be put in writing to avoid misunderstandings as to I Dates I Duration of stay I Applicable rate I Special needs of the guest Overbooking and Breach of Reservation Contract A hotel reservation once made and confirm ed constitutes a contract 0 Binds hotel to provide accommodations 0 Hotels sometimes overbook confirm more reservations than the number of rooms I For those guests the hotel cannot house it will be in breach of contract and liable for damages Damage to Goodwill o Goodwill I Favorable reputation producing an expectation of future business Agreement Not to Compete 0 Provision barring the seller from competing in the same geographical area for a specified period of time Breach by a Guest 0 en a guest cancels a reservation Cancellation Clause for Organization Reserving a Large Block of Rooms 0 An association may reserve many rooms sometimes 100s or even 1000s for a conference 0 Many contracts have a cancellation provision that identifies the obligations of each party in the event of termination of the act Attrition Clause 0 Contract provision that obligates the organization to compensate the hotel if less than the contractual number of rooms block are rented by conventioneers NoCause Termination Clause 0 Contract provision permitting either party to terminate the contract for any reason or for no reason at all Forum Selection Clause 0 Allows the parties to agree that any litigation resulting from the contract will be initiated in a specific forum I Three types of forums I Reference might be to a particular court in a jurisdiction agreed upon by the parties I lIight refer to a specific kind of dispute resolution process mediation arbitration hearing before a special referee I M ht refer to both requiring a specific process to be carried out in a specific location Intentional Interference with Contractual Relations 0 Tort I Noncriminal conduct done by one person that causes injury or financial loss to another 0 To commit the tort of intentional interference with contractual relations three elements are necessary I A valid contract must exist between two parties I A third party must be aware of the existence of the contract I Third party must intentionally cause or induce one of the contracting parties to break the contract and do business instead with the third party Catering Contracts ontract with caterer or restaurant for food 0 No excuse for not having a written contract Convention Contract 0 Contract between an organization planning a convention and the hotel at which the conference will be held Chapter 5 Tort 0 Many types of noncriminal wrongs done by one person that injure another Negligence o The breach of a legal duty to act reasonably that is the direct proximate cause of injury to another 0 Nonlegal language I Carelessness that causes harm Elements of a Negligence Case 0 The existence of a legal duty to act reasonably owed by the defendant to the plaintiff o A breach of that duty 0 Injury to the plaintiff o Proximate cause Existence of a Duty to Act Reasonably 0 We do not owe everyone the duty to act reasonably 0 We owe the duty only to those people who would foreseeably be injured by our actions Breach of Duty 0 Defendant must not only owe a duty to the plaintiff to act reasonably 0 Must also breach that duty 0 The law provides a standard to help judge whether a defendant s actions were or were not within the bounds of the law 0 Standard is the mythical reasonable person of ordinary prudence Reasonable Person 0 Reasonable person does not have bad days 0 Always up to standard Personification of a community ideal of reasonable behavior Proximate Cause 0 Refers to direct and immediate cause I There must be a causeandeffect relationship between the unreasonable conduct and the injury Preexisting Condition A physical impairment suffered prior to the fall Intervening or Superseding Occurrence 0 Events independent of and occurring after the defendant s alleged negligence may be the direct cause of the rather than the defendant s negligence Injury to Plaintiff o Breach of duty has to result in injury Legal Status of Plaintiff uty of care owed by a hotel or restaurant for the safety of its patrons varies in many states depending on the legal status of the person injured Duty Owed to Invitees 0 Greatest duty of care owed to invitees Invitee O I Someone who comes to an establishment for the purpose for which the business is open to the public 0 For a purpose directly or indirectly connected with that business 0 Hotel or restaurant owes a duty to its invitees to I Reasonably inspect the premises for dangerous conditions I Exercise reasonable care to eliminate the danger 0 Liability may result if and only if the business I Knows or by the exercise of reasonable care would discover a dangerous condition that presents an unreasonable risk of harm to invitees I Should expect that invitees will not discover or realize the danger or will fail to protect themselves against it I Fails to exercise reasonable care to protect its invitees against the danger o Necessary reasonable care lack of negligence encompasses both repair of and warning about the dangerous condition Active Vigilance Required Ignorance on the part of the establishment normally will not relieve the business of liability o Duty to inspect for and discover problems and then to protect guests from resulting risks Duty Owed to Licensees 0 Degree of care owed to a licensee is greater than degree owed to a trespasser but less than an invitee 0 Someone who is on the premises of another by permission or acquiescence of the owner or occupier and not by invitation 0 States define the duty owed to licensees In a majority of states duty owed is twofold I Refrain from willfully or wantonly injuring the licensee or acting in a manner to increase peril I Warn of any latent dangers on the premises of which the property owner has knowledge Duty Owed to Trespassers 0 Least duty owed to trespassers I Person who enters a place without the permission of the owner or occupieR I Landowner or possessor does not owe a duty to safeguard a trespasser from injury caused by conditions of the land Minority Position 0 Some states have abolished the distinction between licensees invitees and trespassers and the duties owed to each 0 In those states the occupier of land owes a duty of care to all three 0 Even in these states the standard of reasonable care may vary with the circumstances of the visitor s entry on the premises No Special Duty Owed to Others 0 What about people who do not qualify as invitee licensee or trespasser I In most cases no duty is owe No Duty Owed on Property Not Owned or Maintained by the Hospitality Facility 0 A hotel or restaurant is generally not liable for injuries that occur to patrons on property not owned or maintained by it even if the property is near the hotel or restaurant s facility Negligence Doctrines Generally Favoring the Plaintiff 0 Numerous legal doctrines are associated with negligence o In any negligence case one or more of these doctrines may apply and affect the outcome 0 Some doctrines favor the plaintiff by making the plaintiffs case easier to prove 0 Others benefit the defendant Res Ipsa Loquitur o Literally means the thing speaks for itself 0 Frees the plaintiff from the burden of proving the specific breach of duty committed by the defendant I E ements I Plaintist injury was caused by an accident that would not normally have happened without negligence I The thing causing the injury was within the exclusive control of the defendant I The plaintiff did not provoke the accident Opportunity to Rebut 0 Where the doctrine applies the defendant does not automatically lose 0 Defendant has an opportunity to rebut the inference that it was negligent Children and the Reasonable Person Test Children do not comprehend dangers obvious to more mature persons 0 Nor are children able to weigh cause and effect accurately 0 Children cannot be expected to recognize risks and take appropriate precautions o The duty imposed on adults to act reasonably is usually greater when young children are involved Room Furnishings o A hotel must anticipate dangers and use reasonable care to protect against them when furnishing a room that will be occupied by children Attractive Nuisance Doctrine A landowner generally owes no duty to a trespasser other than to refrain from causing him willful injury There is an exception to this rule for child trespassers called the attractive nuisance doctrine Doctrine is an outgrowth of the law s recognition of youngsters limited capacity to detect danger and protect themselves from 39 Attractive nuisance is a potentially dangerous object or condition of exceptional interest to young people I Swimm ing poo I Large empty box I Snow pile suitable for sliding I Equipment or ditches at a construction site I Attractive Nuisance Doctrine continued Elements I A condition exists that is attractive to children and is likely to cause them injury I The owner or occupier of the land knows or should know of the danger I Due to the child s immaturity he does not appreciate the danger Negligence Per Se Doctrine 0 Conduct that violates a law or ordinance designed to protect the safety of the pubic 0 Under the majority view noncompliance with the safety law or ordinance is not conclusive on the side of the defendant s breach of duty but is some evidence Prima Facie Evidence 0 It alone is sufficient evidence if unrebutted to support a judgment for the plaintiff o In addition a business can request a lawyer to perform a legal audit in which the attorney will examine the business and its compliance with applicable laws and advise the owner of any deficiencies Obligations beyond Regulation Can a hotel be found negligent for failing to do more than the law requires I Yes 0 A hotel has a duty to exercise reasonable care to protect guests from injury 0 If satisfying the law falls short of reasonable care the hotel must do more than what the statute requires 0 Failure to provide that added measure of safety will result in liability for negligence not negligence per se 000 O O o Proprietors must stay abreast of new and stateoftheart products and techniques 0 Always ask What new practice or procedure can I be performing o What new devices mightI be utilizing to enhance the safety of my patrons Strict or Absolute Liability 0 Normally defendants are not liable unless they do something wrong 0 If applicable a defendant will be liable even though they violated no duty and did nothing wrong 0 Exception is called strict liability or absolute liability o Imposes liability for injury caused by an ultrahazardous activity without regard for or wrongdoing by the party engaging in the dangerous conduct Imposes liability for resulting injuries even if the defendant took every precaution and was not negligent Principle supporting this rule is that the ultrahazardous activity could have been outlawed because of the danger it creates Despite its potential for harm the ultrahazardous activity has a useful purpose Such circumstances in lieu of outlawing the activity the law imposes liability for the activity on the party who engages in it without regard to fault Strict Product Liability 0 Imposes liability on the seller of a defective product without regard to negligence o A product is defective for this purpose if it is designed or manufactured improperly 0 Or if it contains inadequate warnings of the dangers it presents 0 Liability is a matter of social policy and based on three objectives I First I By reason of the retail seller s continuing relationship with its distributor the seller is in a position to exert pressure for improved safety of its products 0000 I Second I A seller of goods assumes a special responsibility to its customers who expect the seller to stand behind its goods I Third I Spread the cost of damages suffered by individuals from the defect products I Noteithe product causing the injury must be defective for strict product liability to apply 0 Sometimes a product causes injury for reasons other than a product flaw Respondeat Superior 0 Literally means Let the master employer answer 0 Founded on theory that an employee is an agent of the employer I Whenever an employee is performing the duties of his job he is acting on behalf of the employer I Employer is vicariously through a substitute liable for the employee s wrongful conduct Independent Contractors omeone who contracts to do one or more specific projects for someone else and maintains control of the method for doing the work 0 A company generally is not liable for the acts of independent contractors it hires 0 Determining whether a worker is an employee or independent contract is often not easy I Additional factors to consider I Who between the employer and worker supplies the tools and place of work I The length of time for which a person is hire I The method of paymentiby time or by the job I Whether or not the work being performed is part of the regular business of the employer I Intentions and beliefs of the parties concerning their relationship Nondelegable Duties 0 Exception exists to the general rule that an employer is not liable for the acts of an independent contractor 0 Typically the duty imposed to keep the premises reasonably safe is nondelegable o Duties that cannot be transferred delegated to another 0 For policy reasons the employer is not permitted to avoid liability on the ground that an independent contractor failed to properly perform the work 0 Rule is intended to motivate the hotel or restaurant to monitor carefully the work of an independent contractor Duty to Aid a Person in Distress Law does not impose a legal duty on individuals to rescue someone in trouble Courts agreed that moral responsibility is a matter of conscience and not law No liability will result if a rescuer chooses to do nothing Liability will result if a rescue attempt is done negligentl Reason for the rule is the expectation that had a rescuer not attempted to help someone with the requisite skills would likely have offered to help 0 Once others observe that a person in need is being tended to they are less likely to come forward to help Duty of Business Owners to Aid Invitees in Danger o The law in most states requires business owner to lend a hand under certain circumstances 0 Situations where the proprietor s lack of care would aggravate the harm OOOOO o Rationale for this duty is that the proprietor is deriving some economic benefit from the presence of the custom er 0 Ensuring that invitees are safe is a cost of doing business Limitation on Duty to lnvitees o A business owner s duty to aid a patron in distress is not absolute o If the guest in danger is being cared for by others who appear competent to render the necessary assistance the hotel or restaurant is relieved from the duty to offer aid Statutory Protection for Good Samaritans Laws that protect a person who reacts in an emergency situation by trying to help a sick or injured person or someone in peril o The rescuer will not be liable for any injuries caused in the attempt to render assistance 0 Many statutes further provide that a rescuer is not liable for ordinary negligence only for gross negligence 0 Purpose of these statutes is to encourage voluntary aid to persons in danger by limiting the rescuer s fear of potential liability Rescue Doctrine Benefits a rescuer who is injured while administering aid Rule in Choking Situations o The law does not require a restaurant to administer first aid to a choking patron o The restaurant s only duty is to summon medical assistance for the diner o If restaurant calls 911 it is free from liabilit o If a restaurant chooses to administer first aid and does so negligently it will be held liable in many states ContributoryNegligence o The plaintiffs carelessness contributed to the injury 0 Plaintiff cannot successfully sue a negligent defendant 0 Trend away from contributory negligence is that the allornothing effect is considered unduly harsh to the plaintiff ComparativeNegligence Plaintist negligence will not totally defeat the lawsuit 0 Jury will allocate liability between the plaintiff and the defendant depending on their relative degree of culpability o In a pure system I Plaintiffs will collect the appropriate share of their damages regardless of the percentage of fault attributed to them 0 Some states follow the comparative negligence rule provide that for the plaintiff to recover the percentage of liability allocated to the plaintiff must be less than that assigned to the defendant Doctrine of Last Clear Chance Tempered by Comparative Negligence o Contributory negligence doctrine greatly benefits defendant by barring plaintiffs from suing o In certain circumstances plaintiffs can use the doctrine of last clear chance to support their cases I Elements to be established before the doctrine will come into play I Plaintiff has been negligent I As the result of this negligence the plaintiff is in a position of peril that cannot be escaped by the exercise of ordinary care Defendant knew or should have known of the plaintist peril Defendant had a clear chance by the exercise of ordinary care to avoid the injury to the plaintiff but failed to do so Assumption of Risk 0 Applies in cases where the plaintiff voluntarily engages in conduct known to present a risk of injury 0 If the plaintiff is injured as a result of that risk according to the doctrine the plaintiff cannot successfully sue for the loss 0 Plaintiff is said to have assumed the risk that is accepted the chance that injury might occur and impliedly agreed not to sue if it does I To establish assumption of risk the defendant must show that the plaintiff I Had knowledge of the risk Understood the risk Had a choice of either avoiding the risk or engaging in conduct that confronted the risk Voluntarily chose to take the risk Civil Rights Discriminationact of treating some people different from and less favorably than others 1 Access to places of public accommodation 2 Employment Place of public accommodation Civil rightspersonal rights that derive primarily from the Constitution including freedom of speech freedom of contract privacy due process 1964 Civil rights Actcant discriminate due to 1 Race 2 Color 3 Religion 4 National origin 5 Gender To be illegal under Act discrimination must occur in one of the 4 types of establishments only if facility is engaged in interstate commerce Lodging establishments for transients as opposed to apartment buildings Dining facilities Places of entertainment Gasoline stations Unitary ruleif a covered facility is located within a noncovered business or vice versa both the covered and noncovered businesses are subject to the Act Case example 31 1 No violation of the civil rights act Private clubexclusive pick and choose members costs money Civil rights laws don t apply Selective membership pick and choose Payannual fee 25000 initiation fee Members only use Incentives doesn t matter Do members control operations nonprofit Social purpose rather than business pg 52 Case 33 25 cent membership 9959 handed out membership cards interstate activity food from out of state selective members Discrimination negroes not welcome Case 34 injunction and attorneys fees Injunctioncourt order to stop what they are doing or do things according to the law Case 35 Barry V Maple Bluff Female members are discontented that their male counterparts receive more favorable services This case does not provide any details on the dissimilar opportunities Increase the range of facilities disabled increasing the number of protected class public halls transportation schools libraries hospitals beautybarber shops stores places for delinquentneglected children clinics 1964 act made people involved and made us more conscientious to other people s feelings Americans with Disabilities Act a federal law passed as a commitment to the rights of the disabled Got to have public accommodation More necessity Physical barrier Quality of life 19641991 50 years Veterans What kind of barriers physical barriers mental ba1riers financial Financial factors N Cost Type of operation a Ease of doing so 3 Maintainance 4 Effect on business 5 Financial resources of failing Not readily achievable What is the definition of disabled handicap physical or mental impairment that permanently limits one or more of the major life activities of a person ie breathing seeing hearing talking walking speaking Case 36 Structural Modi cations Readily achievableeasily accomplished without much difficulty or expense Case 37 Gentlemen complaining about the days inn violating the ADA that the stairs weren t closed The stairs would need handrails and would cost 2500 The tables that would need to be adjusted would cost 50000 In order to know if it s a readable achievable the court must know how much it costs to do this The plaintiff had the opportunity to prove the architectural costs and the plaintiff did not do so Should the burden be on the plaintiff or the defendant to prove the costs Gender Discrimination Age Discrimination Rights of Proprietors right to refuse service if you interrupt a business Police 1 Trained Liability Immunity Networking 59 Case 3 10 She went to a frat party then went to a Hot Shoppe without shoes because she left them in the car the restaurant asked her to leave the restaurant because she was not wearing shoes There were no signs posted and she refused to eat till she was done eating her meal She refused to leave and was arrested All Chapter 3 case studies in exam Hospitality Management Law Prosecutor puts defendant in jail General counseloradvises mayor California system 3 justices in the state court of appeal different views 7 justices in supreme court Trial court in federal systemfederal district court 11 district courts in the Us California is the 93911 Headquarters are in SF but move around Statutestate law law that has been passed by legislative body Ordinancelocal law Propositionproposed law initiative by the people Vote by people are more powerful than votes by legislature 5 conservatives 4 liberalsUS supreme court Sources of law ConstitutionUS each state 51 Statutes Common law Judge made law Initiatives Administrative law frules regulations Regulationsnot laws rules made by agencies bureaucratsagencies make them but hold as much power as a law Appointed by elected officials US Constitution 3 branchlegislative judicial executive Legislative Executive Judicial Art 2 Art 3 Encremented powers 1 Tax Make laws legislators interpret the laws 2 Commerce clauseregulate answer to no one 3 War Not enumerated in constitution rests on the states 43911 branch of governmentadministrative agencies under executive grow at exponential rate Lawrules or regulations that the government makes to require people to meet certain standards of conduct enforceable in court if you do not follow them you will be penalized l A body of rules to which people must conform their conduct 2 A form of social control 3 A set of rules used by judges in deciding disputes Sources of Law constitutional law statutory law common law administrative law Constitutional lawprescribes the organization of the federal government including the executive legislative judicial branches and defines the powers of the federal government Delegated powerspowers expressly allocated to the federal government in the Constitution Federal gov authority is limited to these powers all other authority is left to the states Exdevelopment of a system of money and regulation of interstate commerce Interstate commercebusiness affecting more than one state as opposed to business done between two parties in the same state Legislative process the process by which the federal government as well as other units of government states countires cities adopt laws Congressprimary lawmaking body of the fed gov the constitution defines the method by which they adopt laws Constutitionequal protection under law freedom of speech freedom of religion right of religious freedom Statutory Law law promulgate by the legislature and generally agreed to by the executive president governor mayor Legislatorslawmakers elected to office by the citizenry We elect leg At federal level members of the House of Representatives and Senate state level state legislators and local county leg Statutewhen federal or state legislators adopt a law Ordinancewhen local legislators adopt a law Common law legal rules that have evolved not from statutes but rather from decisions of judges and from customs and practices that obtained their authority from the test of time Commonlaw system has reliance on case decisions Case decisionsinterpretation of the law applied by a judge to a set of facts in a given case case decisions becomes a precedent Precedenta basis for deciding future cases Slate decisis the matter stands decided iprocess of following earlier cases achieve consistency in the law encourages judges to decide cases consistent with precedent Administrative Law laws that define powers limitations and procedures of administrative agencies Administrative agency governmental subdivision charged with administering legislation that applies to a particular industry EX departments commissions bureaus agencies councils groups services divisions Food and Drug Administration Federal Communications Commission Regulationslaws adopted by administrative agencies to distinguish them from laws by legislators Civil and Criminal Law Civil law person to person Criminal lawperson to society as a whole Civil Criminal Wrong to individual wrong to society as a whole Objective is compensation objective is punishment for wrongdoer For injury Person suing hirespays his society is represented by a lawyer paid by gov Lawyer district attorneyprosectutor 1 Civil lawdone to an individual Criminalwrong in icted on society 2 Objective of civil lawsuit is compensation for injury objective of criminal Examples of Civil Law Contract agreement between two or more parties that is enforceable in court Tortviolation of a legal duty by one person that causes injury to another not breaches of contractual duties 1 Negligencebreach of a legal duty to act reasonably carelessness 2 Trademark infringementuse of antoher company s business name or logo without permission 3 Fraudintentionally untruthful statement made to induce reliance by another person Damagesremedy south by the injured party in a civil case Two typescompensatory and punitive Compensatoryrefers to money awarded to the plaintiff to compensate for injuries Punitive damagesexemplary damages money awarded in excess of compensatory damages C v damages 150 000 claim Punitive damages Lost wages violence malice fraud Pain and suffering Med Bills Emotional distress Out ofpocket expenses Loss of a companion Attorneys fees Loss of consortium deprivation of the benefits Of a relationship due to injuries 908994P N Examples of Crimes Theft of servicesuse of services like hotel rooms without paying and with the intent of avoiding payment Assaultintentionally causing physical injury to another person Rapeforcible sexual intercourse against victim s will Penalities for Criminal Case Community service fines probation jail death Probationsystem whereby criminal offenders remain out of jail but are supervised by a probation officer Remedies in a civil case Money aka damages 150000 x 3 450000 or more Criminal case Fined put in jail probation DUI150000 60 day in jailsuspended Satisfactory completion of probation 36 month summary formal probation Probationsystem whereby criminal offenders remain out of jail but are supervised by a probation officer How to Read a Case Written judge s decisions that are issued and may be recorded in books used for legal research cases Casebooksbooks in which these decisions are published Four elements in l The facts 2 The issuelegal question that the parties have asked the judge to resolve 3 Judge s decisionjudge s response to issue 4 Reasoning supporting the decisionbasis or rationale fo the decision a case Factscircumstances that gave rise to the lawsuit Issuelegal question that the parties have asked the judge to resolve Decisionjudge s response to the issue Reasoningbasis and rationale for the decision Case example 1 l McD not found guilty Gotta be duty breach in duty injurydamages Review questions pg 14 3 precedentlegal decision 1 Tortviolation of a legal duty by one person that causes injury to another EX Negligence fraud 7 innkeeper 8 10 Civil Criminal Differences Comp punishment Individuals society Pay your attorney fees Government counsel attorney 13 Facts issue judge s decision Discussion questions 1 2 Stare decisis Application questions 1 Pain and suffering no punitive 1066 AD King Coloniesenglish settlers brought over common law codes Judgesamerican common law legislative congressstate legislature New American common law


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