Exam 3: Introduction to Torts

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Celine physically attacked Roger. She therefore committed both a tort and a crime. Briefly identify and explain any important differences between court proceedings concerning the tort and court proceedings concerning the crime.

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Roger will sue Celine for the tort of battery. Battery is a civil wrong. It is based on a private obligation that Celine owed to Roger personally. For that reason, the legal proceedings will generally be restricted to Celine as the defendant, and Roger as the plaintiff. Society is not directly involved in the matter. (Society is, however, indirectly involved in the matter because it provides the legal rules and the court system through which the claim will be resolved. Furthermore, society does, of course, prefer victims to prevail over wrongdoers.) If Roger's claim is successful, he will receive damages, most likely in the form of compensatory damages (for any losses that he suffered as a result of the attack) , but possibly in the form of nominal damages (if he suffered no loss) or punitive damages (if the court believes that it is necessary to express its disapproval of Celine's outrageous behaviour) .
Criminal proceedings are concerned with public wrongs. Celine would be prosecuted not so much because she owed an obligation to Roger personally, but rather because she owed an obligation to the community to refrain from physical attacks. Consequently, she would not be sued by Roger. Instead, she would be prosecuted by the government (or the Crown) , which acts on behalf of society as a whole. If Celine is convicted of a crime, she will probably be punished in some manner. For instance, she may be fined or imprisoned.

Beverley, who is a Canadian judge, has just heard the parties' arguments in a tort case. Given the complexity of the situation, she feels the need to do some independent research into the relevant law before she gives her decision. Which of the following statements is TRUE?

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C

Until recently, Tamara worked in a warehouse, earning $3000 a month. She was required to quit her job, however, after being injured in a skiing accident that was tortiously caused by Buck. That injury required Tamara to spend two months in the hospital. After being discharged from the hospital, Tamara was further required to complete an intensive physiotherapy program over the course of a month. At the end of that month, her physician told her that while she could not return to work in a warehouse, she should immediately take up employment in a less demanding (and lower paying) job. Nevertheless, for the next two months, Tamara chose to do nothing at all beyond watching television and listening to music. As her financial difficulties deepened, she eventually decided to re- train as a secretary. She therefore enrolled in a three- month secretarial course, for which she was required to pay a total of $3000. At the end of that course,Tamara promptly returned to workforce, this time as a secretary at a salary of $2000 per month. Exactly one year has now passed since Tamara began working as a secretary. How much is she entitled to receive from Buck by way of damages for lost income in the past?

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As a general rule, Buck is required to compensate Tamara for the loss of income that she suffered as a result of the tort. Damages will, however, be reduced to the extent that Tamara unreasonably failed to mitigate her losses. It is easiest to calculate the final total in four stages.
First, Buck undoubtedly is liable for the loss of income that Tamara suffered immediately after the accident, when she was hospitalized and in physiotherapy, and consequently unable to mitigate her losses by working. That period lasted for three months. Because Tamara lost income of $3000 per month, she is entitled to receive $9 000.
In the following two months, Tamara did not receive any income, but the explanation was not so much Buck's tort, as Tamara's voluntary choice to remain idle. Consequently, because she unreasonably failed to mitigate her damages while staying at home for two months, she will be denied compensation for that period.
Tamara then missed another three months of work as a result of her decision to re- train as a secretary. In addition to the loss of income, that course also cost Tamara $3000. Because those losses are attributable to Tamara's reasonable efforts to mitigate her losses, she is entitled to compensation from Buck in the amount of $12 000 ($3000 for the course +
$3000 per month for 3 months for loss of income) .
Finally, when Tamara did return to work, she did so at a lower rate of pay. She consequently worked for 12 months at a salary of $2000 per month, rather than $3000 per month. Buck is liable for the cumulative loss of $12 000 of income ($3000 - $2000 = $1000 x 12 months = $12 000) under this heading.
Adding all of the damages together, Buck's liability for past loss of income is $33 000 ($9 000 + $12 000 + $12 000) . Buck will, of course, also be liable for the fact that Tamara will continue to suffer a reduced income in the future, and for the fact that Tamara may have incurred expenses connected to her medical treatment and physiotherapy.

What is an "alternative compensation scheme"? From the perspective of an injured person, what are the advantages and disadvantages of receiving relief under an alternative compensation scheme, rather than under tort law?

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During an argument in a nightclub, Marie deliberately slapped Caesar's face. She had done so many times before, with few consequences. On this occasion, however, the slap caused Caesar to suffer a blood clot that led to a serious injury. The medical evidence indicates that Caesar had always suffered from a rare condition that made him unusually vulnerable to such complications. Neither Caesar nor Marie had any way of knowing about that pre- existing condition. Which of the following statements is TRUE?

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Gold Star Investment Inc is in the business of providing financial advice to clients. Alan, who is the company's managing director, hires all of the company's staff. Unfortunately, he tends to hire not on the basis of formal qualifications, but rather on the basis of physical beauty. Consequently, among Gold Star's staff are Brad and Angie, a pair of exceptionally attractive, but dull- witted, financial advisors. When Jennifer retained Gold Star to provide investment advice, her file was assigned to Brad and Angie. Through sheer incompetence, the pair managed to lose virtually all of Jennifer's money on bad investments within a very short time. If Gold Star is held vicariously liable

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Which of the following statements is TRUE with respect to the concept of a blood feud?

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Teach Inc sold a computer consulting business to Blackbeard Corp. Blackbeard was persuaded to enter into that sale contract by documents that Teach had produced that suggested that Blackbeard would enjoy a profit of $1 000 000. In fact, as Teach knew, the business was really worth far less. As a result of purchasing the business, Blackbeard has actually suffered a total loss of $400 000. Blackbeard has successfully sued Teach in both tort and contract. Though it may also be entitled to other relief, Blackbeard is entitled to damages of

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Suneel committed the tort of battery against Jodi. The injuries that she suffered were unexpectedly severe. Suneel can be held fully liable for Jodi's losses even if those losses were not reasonably foreseeable.

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Which of the following statements is TRUE?

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Abdul worked for Primus Finance Co. Following a series of disastrous losses, several of the company's customers have sued Abdul in tort. Because Abdul has relatively little money, however, those customers also want to sue Primus Finance. Primus Finance denies vicarious liability by arguing that Abdul was an independent contractor rather than an employee. A court is more likely to decide that Abdul was an independent contractor if

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Rawls Inc sued Nozick Ltd in tort. The court awarded nominal damages. That means that

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Damages in tort look backward, whereas damages in contract look forward, primarily because the courts realize that the victim of a tort is relatively more likely to suffer a serious physical injury.

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Which of the following torts fall within the category of intentional torts?

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According to one old English case, Ethelred was entitled under the doctrine of blood feud to kill Halebert. If the same facts arose today, the Canadian legal system would deal with the situation through a combination of tort law and contract law.

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Robert successfully sued Marjorie in tort. Majorie has liability insurance. In this situation, Marjorie is considered the tortfeasor.

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A tort is considered to be actionable per se (which means "actionable in itself") only if the same facts also support a criminal prosecution.

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Steven committed a trespass to Rundeep's land by building a fence on her property. He did so in the belief that the property actually belonged to him. Steven has a liability insurance policy that he purchased from Burlington Life & Accident Ltd (BLA). Which of the following statements is TRUE?

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Nelson successfully sued Horatio in tort. The court awarded an injunction, nominal damages, and punitive damages. It therefore must be true that Horatio deliberately breached an obligation that he owed to Nelson in connection with a strict liability tort.

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Sinead owns a cottage that has been in her family for generations. Until recently, the natural beauty of the property was enhanced by surrounding forest, which consisted of old- growth trees that had taken generations to reach full maturity. Sinead was therefore devastated when she last visited her cottage and discovered that all of those trees had been cut down and dragged away. It was not difficult to identify the culprit. Xarol Developments Inc had purchased a number of nearby properties with the intention of building new, luxury cottages for the high- end market. In order to add to the value of those properties, Xarol had entered onto Sinead's land and cut down her trees, thereby allowing the new cottages that it was building to have unobstructed views of the nearby lake. Xarol has admitted to committing a trespass to land and has offered to pay for the value of the trees. It does so secure in the knowledge that it would still reap a substantial profit of $100 000 from its actions as a result of being able to sell its new cottages for higher prices. Sinead disagrees. She believes that she is entitled, in addition to compensatory damages for her loss, to punitive damages worth $5 000 000. She settled on that figure after watching a television program that dealt with punitive damages in American courts. (She could not find a similar program on Canadian law.) Is a Canadian court likely to award punitive damages? If so, it is likely to award punitive damages worth $5 000 000? Explain your answer.

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