Business Law Ch. 11 Notes.docx

3 Pages
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Department
Management and Organizational Studies
Course Code
Management and Organizational Studies 2275A/B
Professor
Philip King

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Business Law Ch. 11 Notes Chapter 11 The Law of Negligence  The law understands carelessness as a failure to show reasonable care, that is, the care that a reasonable person would have shown in a similar situation  The tort of negligence makes the defendant liable for failing to act responsibly  Seeks to compensate victims for their loss or injury  It provides this compensation after applying rules that determine who is liable to compensate another, on what basis, and for how much  Steps to a Negligence Action: o Step 1: does the defendant owe the plaintiff a duty of care? o Step 2: did the defendant breach the standard of care? o Step 3: did the defendant’s careless act (or omission) cause the plaintiff’s injury? o Step 4: was the injury suffered by the plaintiff too remote? If not, the plaintiff has proven negligence.  Step 1 Considerations o Duty of care: the responsibility owed to avoid carelessness that causes harm to others o Neighbor: anyone who might reasonable be affected by another’s conduct o If the case is comparable to an already-decided case in which a duty of care was recognized, the first stage described below can be skipped and the plaintiff can proceed directly to the second stage o If the case at issue is novel, then the court is required to asses the issue of duty in the following way:  Stage 1: is there a prima facie duty of care? (At first sight or on first appearances) to answer this you must ask the following:  Is the harm that occurred a reasonably foreseeable consequence of the defendants act? If yes, ask:  Is there a relationship of sufficient proximity between the parties such that it would not be unjust or unfair to impose a duty of care on the defendant? If yes, proceed to stage 2  Stage 2: are there residual policy considerations outside the relationship of the parties that may negative the imposition of a duty of care? (E.g. would it be “unwise”)  Step 2 Considerations o The defendants conduct is judged according to the standards of behaviour that would be observed by the reasonable person in society o Reasonable person: the standard used to judge whether a person’s conduct in a particular situation is negligent o In cases involving specialized tasks, courts introduce the standard of the “reasonable” personal with that specialized training  Step 3 Considerations o Causation: the relationship that exists between the defendant’s conduct and the plaintiff’s loss or injury o Courts generally have little difficulty reaching a decision on causation by asking this simple question: Would the harm not have occurred but for the defendants actions?  Step 4 Considerations o The idea is
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