LAW 122 Study Guide - Final Guide: Independent Contractor, Blood Transfusion, Intentional Tort
17 May 2018
School
Department
Course
Professor
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! ! Chapter!1:!Nature!of!Law!
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Rules!&!Law!
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Battery!
Marjorie,!a!middle-aged!entrepreneur,!was!involved!in!a!terrible,!single-
car!accident.!When!she!was!taken!to!a!nearby!hospital,!the!attending!
nurse!discovered!that!Majorie's!purse!carried!a!card!that!contained!the!
following!statement:!"NOTICE:!I!am!a!Jehovah's!Witness.!Because!of!my!
religious!beliefs,!I!do!not$consent,!under!any!circumstances,!to!any!
emergency!medical!procedures!that!involve!blood!transfusions."!The!
nurse!brought!the!card!to!the!attention!of!the!emergency!room!
physician,!Dr.!Curtis.!He!immediately!appreciated!the!dilemma.!If!he!
failed!to!perform!a!blood!transfusion,!Marjorie!certainly!would!die!
within!an!hour.!But!if!he!pro-!proceeded!with!the!transfusion,!he!would!
be!overriding!her!religious!beliefs.!How!should!Dr.!Curtis!proceed?!Aside!
from!moral!considerations,!what!should!he!be!told!regarding!the!law?!
Can!he!be!held!liable,!under!an!intentional!tort,!for!performing!an!
operation!that!will!save!Marjorie's!life?!!
Ø
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Chapter!21:!Business!Organizations!
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Partnership!
Groscki!and!Durocher!were!chartered!accountants.!Groscki!ran!a!business!giving!
tax!advice!and!providing!accounting!services,!which!he!operated!out!of!premises!
that!he!owned.!In!1989,!he!entered!into!an!agreement!with!Durocher!under!
which!Durocher!agreed!to!review!financial!statements!and!prepare!tax!returns!
for!Groscki's!clients!for!$20!an!hour!plus!$913!a!month.!They!agreed!that!
Durocher!would!not!be!classified!as!an!employee!but!as!an!independent!
contractor.!That!allowed!Durocher!to!deduct!certain!expenses!in!connection!with!
his!work!against!his!income!for!tax!purposes.!Over!time,!Durocher!assumed!more!
responsibility!for!managing!the!business!and!supervising!the!staff.!Groscki!
increasingly!worked!on!other!business!ventures.!In!1993,!the!name!on!the!
business!letterhead!and!its!sign!was!changed!to!say!"Groscki!and!Durocher."!
Nevertheless,!Durocher!was!never!given!signing!authority!for!the!business!bank!
account!and!did!not!have!access!to!the!financial!records!of!the!business.!In!1993,!
Durocher!loaned!$25!000!to!Groscki!for!the!business.!In!1994,!Durocher!terminated!his!
relationship!with!Groscki.!Durocher!argued!that!some!of!the!firm's!business!belonged!to!
him!because!he!and!Groscki!are!partners.!!
1. What!factors!support!the!conclusion!that!the!relationship!between!Groscki!and!
Durocher!was!a!partnership?!
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2. What!factors!suggest!that!it!was!not!a!partnership?!!
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3.!Is!there!anything!else!that!you!would!like!to!know!to!answer!these!questionsR$$
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Partnerships!
Ben!and!Stephanie!decided!to!open!up!a!restaurant.!Stephanie!contributed!a!
building!that!she!owns,!in!which!the!restaurant!will!operate,!that!is!worth!$300!
000!and!Ben!contributed!$100!000!for!renovations.!The!parties!agreed!orally!that!
once!the!restaurant!is!open,!Stephanie!will!manage!the!restaurant!on!a!day-to-
day!basis,!while!Ben!will!keep!the!books!for!the!business.!They!have!also!agreed!
that!they!will!share!the!profits!from!the!business.!The!renovations!take!three!
months!during!which!both!Ben!and!Stephanie!are!involved!in!supervising!the!
work.!The!restaurant!opens!on!January!1.!The!restaurant!business!is!not!
successful!and!does!not!make!any!profits.!Neither!Ben!nor!Stephanie!received!
any!financial!ben-!efit!from!the!restaurant's!operations.!Then,!Stephanie!and!Ben!
began!to!disagree!about!what!to!do.!On!April!1,!Stephanie!locks!Ben!out.!Based!
on!these!facts,!what!is!the!nature!of!the!relationship!between!Ben!and!
Stephanie?!What!relief!should!Ben!seek?!!
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Ø A!remedy!would!be!dissolution!of!the!partnership!
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