Question 1

Most alternative compensation schemes apply only if an injury is the result of a wrongful act.

Accepted Answer

A) True 
 B)False

Question 2

Ethical Perspective 3.1 discussed the Supreme Court of Canada's decision in Bazley v Curry. Which of the following statements is TRUE?

Accepted Answer

A)  The court held that an employer may be held vicariously liable for the torts of an independent contractor. 
B)  The court's decision focused on the concept of liability insurance. 
C)  The court held that an employer may be held vicariously liable for an employee's tort even if that employee committed a tort by doing something that the employer expressly prohibited the employee from doing. 
D)  The court held that an employer will be held vicariously liable for an employee's tort only if the employee committed a tort by doing something that the employer had directed the employee to do. 
E)  The court held that an insurance company may deny coverage if an insured party committed a tort that also amounted to a deliberate and criminal act. 
A)  The court held that an employer may be held vicariously liable for the torts of an independent contractor. 
B)  The court's decision focused on the concept of liability insurance. 
C)  The court held that an employer may be held vicariously liable for an employee's tort even if that employee committed a tort by doing something that the employer expressly prohibited the employee from doing. 
D)  The court held that an employer will be held vicariously liable for an employee's tort only if the employee committed a tort by doing something that the employer had directed the employee to do. 
E)  The court held that an insurance company may deny coverage if an insured party committed a tort that also amounted to a deliberate and criminal act.

Question 3

Max worked in a warehouse owned by Fortress Storage Inc. His job consisted mainly of moving and storing expensive and sensitive pieces of computer equipment that Fortress had received from its customers. Unfortunately, while Max normally was among the company's most trusted workers, he carelessly dropped a computer that belonged to HAL Inc and that HAL had asked Fortress to store. Which of the following statements is TRUE?

Accepted Answer

A)  The court may apply the doctrine of vicarious liability only if Fortress has liability insurance. 
B)  Max may be vicariously liable for Fortress's tort even if HAL's equipment was damaged while Max was doing something that Fortress had told him not to do. 
C)  If Fortress is held vicariously liable, then HAL will be prevented from suing Max. 
D)  As a matter of risk management, Max and Fortress both should have purchased liability insurance. 
E)  Fortress may be vicariously liable only if a court decides that Max is not liable. 
A)  The court may apply the doctrine of vicarious liability only if Fortress has liability insurance. 
B)  Max may be vicariously liable for Fortress's tort even if HAL's equipment was damaged while Max was doing something that Fortress had told him not to do. 
C)  If Fortress is held vicariously liable, then HAL will be prevented from suing Max. 
D)  As a matter of risk management, Max and Fortress both should have purchased liability insurance. 
E)  Fortress may be vicariously liable only if a court decides that Max is not liable.

Question 4

Which of the following statements is TRUE?

Accepted Answer

A)  The word "tort" is derived from the Greek word for "obligation" or "duty." 
B)  Punitive damages cannot be awarded at the same time as compensatory damages. 
C)  Studies prove that tort law has a very effective deterrent function. 
D)  Nominal damages are generally restricted to torts that are actionable per se. 
E)  Security guards and police officers have the same authority to detain people suspected of committing crimes. 
A)  The word "tort" is derived from the Greek word for "obligation" or "duty." 
B)  Punitive damages cannot be awarded at the same time as compensatory damages. 
C)  Studies prove that tort law has a very effective deterrent function. 
D)  Nominal damages are generally restricted to torts that are actionable per se. 
E)  Security guards and police officers have the same authority to detain people suspected of committing crimes.

Question 5

Jojo suffered a catastrophic injury while she was at work. Although she strongly suspects that the accident that injured her was caused by the carelessness of one of her co- workers, she cannot prove that fact. She therefore hopes to receive compensation for her loss from a workers' compensation scheme. Which of the following statements is TRUE?

Accepted Answer

A)  If Jojo is entitled to receive workers' compensation, she will receive compensation for her loss directly from her employer. 
B)  Jojo cannot receive workers' compensation unless she can prove who caused the accident that resulted in her injury. 
C)  Jojo is not entitled to workers' compensation unless she voluntarily contributed money toward the workers' compensation fund. 
D)  Workers' compensation schemes operate in less than half of Canada's provinces. 
E)  If Jojo receives workers' compensation, she will likely be entitled to receive less than she would have been entitled to received if she had been able to prove that her injury was caused by a tort. 
A)  If Jojo is entitled to receive workers' compensation, she will receive compensation for her loss directly from her employer. 
B)  Jojo cannot receive workers' compensation unless she can prove who caused the accident that resulted in her injury. 
C)  Jojo is not entitled to workers' compensation unless she voluntarily contributed money toward the workers' compensation fund. 
D)  Workers' compensation schemes operate in less than half of Canada's provinces. 
E)  If Jojo receives workers' compensation, she will likely be entitled to receive less than she would have been entitled to received if she had been able to prove that her injury was caused by a tort.

Question 6

Ramon cut the grass that surrounded a condominium complex owned by Acme Inc. He carelessly failed to check the ground for dangerous objects before doing so. As a result, he ran the lawnmower over a pile of rocks. One of the rocks shot out from the lawnmower and hit Irene in the eye. Irene is sure that Ramon committed the tort of negligence, but she also realizes that he has very little money. She therefore wants to claim damages from Acme Corp on the basis of the doctrine of vicarious liability. Is she entitled to do so? Do you require any additional information before answering that question? Explain your answers.

Accepted Answer

This question requires students to reali

Question 7

Explain, from a risk management perspective, why liability insurance may be more important with respect to liability in tort than with respect to liability for breach of contract.

Accepted Answer

This question builds upon the last. Tort

Question 8

Which of the following statements is TRUE with respect to the doctrine of vicarious liability?

Accepted Answer

A)  Because personal liability and vicarious liability are separate concepts, a successful plaintiff usually is entitled to collect full damages from both the employee and the employer. 
B)  While vicarious liability provides employers with more incentive to act carefully when selecting, training, and supervising employees, it also tends to provide employees with less incentive to act carefully as they perform their jobs. 
C)  Vicarious liability serves tort law's compensatory function by increasing the possibility that the tortfeasor will receive damages from someone. 
D)  As a general rule, an employee who has paid damages for a tort that he or she personally committed is entitled to use the doctrine of vicarious liability to recover that same amount of money from his or her employer. 
E)  A person who is injured by a tort that was committed by an employer personally can use the doctrine of vicarious liability to sue any of the employer's employees. 
A)  Because personal liability and vicarious liability are separate concepts, a successful plaintiff usually is entitled to collect full damages from both the employee and the employer. 
B)  While vicarious liability provides employers with more incentive to act carefully when selecting, training, and supervising employees, it also tends to provide employees with less incentive to act carefully as they perform their jobs. 
C)  Vicarious liability serves tort law's compensatory function by increasing the possibility that the tortfeasor will receive damages from someone. 
D)  As a general rule, an employee who has paid damages for a tort that he or she personally committed is entitled to use the doctrine of vicarious liability to recover that same amount of money from his or her employer. 
E)  A person who is injured by a tort that was committed by an employer personally can use the doctrine of vicarious liability to sue any of the employer's employees.

Question 9

Which of the following statements is TRUE with respect to alternative compensation schemes?

Accepted Answer

A)  Workers' compensation schemes usually prevent the victim of a workplace accident from suing in tort. 
B)  Most workers' compensation schemes are funded by voluntary donations from employees. 
C)  No- fault automobile accident schemes only apply to accidents that were not the fault of either party. 
D)  No- fault automobile accident schemes always prevent the victim of a traffic accident from suing in tort. 
E)  Most alternative compensation schemes are funded by a tax that is imposed on damages that are awarded in tort cases. 
A)  Workers' compensation schemes usually prevent the victim of a workplace accident from suing in tort. 
B)  Most workers' compensation schemes are funded by voluntary donations from employees. 
C)  No- fault automobile accident schemes only apply to accidents that were not the fault of either party. 
D)  No- fault automobile accident schemes always prevent the victim of a traffic accident from suing in tort. 
E)  Most alternative compensation schemes are funded by a tax that is imposed on damages that are awarded in tort cases.

Question 10

Cheyenne committed the tort of battery against Joey. A court held that Joey is entitled to recover damages from her. Identify and briefly explain three types of damages that the court might have awarded.

Accepted Answer

The court probably awarded compensatory

Question 11

Makayla successfully sued Deacon for the tort of defamation. In that situation, the term tortfeasor refers to

Accepted Answer

A)  Deacon as the person who committed the tort. 
B)  Makayla as the person who suffered, or felt, the tort. 
C)  the fact that Makayla's tort caused Deacon to fear that he would suffer an injury. 
D)  the court as a representative of society's concern, or fear, or anti- social behaviour. 
E)  the traditional idea, or theory, of tort law. 
A)  Deacon as the person who committed the tort. 
B)  Makayla as the person who suffered, or felt, the tort. 
C)  the fact that Makayla's tort caused Deacon to fear that he would suffer an injury. 
D)  the court as a representative of society's concern, or fear, or anti- social behaviour. 
E)  the traditional idea, or theory, of tort law.

Question 12

The Kingston Maroons Corp (usually known simply as the Maroons) owns and operates both a hockey team by that name and the Kingston Arena. The Maroons employ Gilbert Douglas, who is the team's star player. During a recent game, Douglas was sent to the penalty box by the referee. Unhappy with the referee's decision, Douglas slammed the penalty box door shut. That caused the protective glass attached to the penalty box to shatter. Cherie, a fan who was sitting nearby, was cut by the broken glass. The evidence indicates that the accident was caused partly by Douglas's carelessness in slamming the penalty box door shut, and partly by the fact that the Maroons organization had carelessly installed the protective glass. Both Douglas and the Maroons therefore committed the tort of negligence. Which of the following statements is probably TRUE?

Accepted Answer

A)  Douglas is relieved of personal liability if the Kingston Maroons Corp is held vicariously liable. 
B)  If Douglas is an employee of the Kingston Maroons, then he must be an independent contractor as well. 
C)  Douglas is not personally liable to Cherie in tort because her case falls within the workers' compensation scheme. 
D)  The Kingston Maroons Corp is personally liable to Cherie only if Douglas is classified as an independent contractor. 
E)  The Kingston Maroons Corp is vicariously liable only if Douglas is personally liable. 
A)  Douglas is relieved of personal liability if the Kingston Maroons Corp is held vicariously liable. 
B)  If Douglas is an employee of the Kingston Maroons, then he must be an independent contractor as well. 
C)  Douglas is not personally liable to Cherie in tort because her case falls within the workers' compensation scheme. 
D)  The Kingston Maroons Corp is personally liable to Cherie only if Douglas is classified as an independent contractor. 
E)  The Kingston Maroons Corp is vicariously liable only if Douglas is personally liable.

Question 13

Explain how torts are classified according to the degree of mental culpability. Your answer should include examples of each category within that classification system.

Accepted Answer

Tort law needs to respond to a variety o

Question 14

Darius, a security professional, agreed to guard Myrna's house. That contract contained a number of terms. One clause required Darius to "take every precaution possible to ensure that no personal belongings are improperly removed from the house." In fact, Darius himself stole several objects of art from Myrna's house. Darius has committed

Accepted Answer

A)  a crime, a tort, and a breach of contract. 
B)  a tort and a breach of contract, but not a crime. 
C)  a breach of contract, but neither a tort nor a crime. 
D)  a crime and a tort, but not a breach of contract. 
E)  a crime and a breach of contract, but not a tort. 
A)  a crime, a tort, and a breach of contract. 
B)  a tort and a breach of contract, but not a crime. 
C)  a breach of contract, but neither a tort nor a crime. 
D)  a crime and a tort, but not a breach of contract. 
E)  a crime and a breach of contract, but not a tort.

Question 15

Bondi Shipping Corp steered its ship, The Surf, into a dock that was owned by Bradman Inc. Bondi intended to make certain repairs to The Surf. During the course of those repairs, Bondi's employees carelessly allowed a chemical, known as australite, to leak into the water surrounding the dock. The australite, which floated on the surface of the water, caught fire after sparks from a welding gun that Bondi's employees were using fell into the water and onto the australite. The flames spread quickly and Bradman's dock was entirely destroyed. The total cost of the damage is $2 000 000. The court has found that Bondi is vicariously responsible for the actions of its employees, and that those employees committed the tort of negligence when they carelessly allowed australite to leak out of The Surf and onto the water. The court also found that while it is now obvious that australite is flammable in some circumstances, no one knew (or could have known) at the time of the accident that australite is flammable. Will Bondi be held liable to Bradman for compensatory damages? Provide the best explanation for your answer.

Accepted Answer

Bondi will not be held liable for Bradma

Question 16

Although the same set of events may support both a law suit in tort and a criminal prosecution, a civil action will not succeed if a wrongdoer has already been convicted of a criminal offence.

Accepted Answer

A) True 
 B)False

Question 17

Elise owns and operates a convenience store. Because that store is located near a high school, it loses a great deal of profit to shoplifting. Last week, Elise caught Hakan in the act of stealing a magazine. She physically detained him and called the police. The police arrived and placed Hakan in handcuffs. At that point, Elise calmly and intentionally punched Hakan in the face and said, "I've been waiting a long time for the chance to do that." Elise has a liability insurance policy that she purchased from the Pacific All Risk Insurance Co. Which of the following statements is TRUE?

Accepted Answer

A)  If Elise is found liable for the tort of battery, she will probably have to pay the damages herself. 
B)  If Elise is found liable for the tort of battery, the police department will also be held vicariously liable for the same tort. 
C)  Because Elise was acting on behalf of her store, a court could impose liability upon the store, but not upon Elise. 
D)  Elise almost certainly committed the tort of false imprisonment. 
E)  PARI will probably be required to pay damages on Elise's behalf with respect to Hakan's claim for false imprisonment. 
A)  If Elise is found liable for the tort of battery, she will probably have to pay the damages herself. 
B)  If Elise is found liable for the tort of battery, the police department will also be held vicariously liable for the same tort. 
C)  Because Elise was acting on behalf of her store, a court could impose liability upon the store, but not upon Elise. 
D)  Elise almost certainly committed the tort of false imprisonment. 
E)  PARI will probably be required to pay damages on Elise's behalf with respect to Hakan's claim for false imprisonment.

Question 18

Briefly identify and explain the manner in which tort obligations and contractual obligations generally arise. Briefly explain why tort obligations create a greater hazard for the purposes of risk management.

Accepted Answer

As a general rule, tort obligations are

Question 19

Which of the following statements is TRUE with respect to the relationship between tort and contract?

Accepted Answer

A)  A plaintiff who is entitled, on the basis of the same set of facts, to sue in both tort and contract should always sue in contract because contractual damages are always worth at least as much as tort damages. 
B)  A plaintiff who is entitled, on the basis of the same set of facts, to sue in both tort and contract should always sue in tort because tort damages are always worth at least as much as contractual damages. 
C)  The obligation to behave in a certain way is considered primary in contract and secondary in tort because contract is a more important area of law. 
D)  Damages look backwards in contract but forwards in tort. 
E)  The concept of privity is important in contract but not in torts. 
A)  A plaintiff who is entitled, on the basis of the same set of facts, to sue in both tort and contract should always sue in contract because contractual damages are always worth at least as much as tort damages. 
B)  A plaintiff who is entitled, on the basis of the same set of facts, to sue in both tort and contract should always sue in tort because tort damages are always worth at least as much as contractual damages. 
C)  The obligation to behave in a certain way is considered primary in contract and secondary in tort because contract is a more important area of law. 
D)  Damages look backwards in contract but forwards in tort. 
E)  The concept of privity is important in contract but not in torts.

Question 20

Terry committed a tort against Julia by using her computer, without her permission, while she was away on vacation. Which of the following statements is TRUE?

Accepted Answer

A)  Terry may be held liable in tort even if he has already been convicted of a crime as a result of his use of Julia's computer. 
B)  Julia is entitled to an injunction that would force Terry to pay for the monetary value of his use of her computer. 
C)  because he breached the secondary obligation that he owed to Julia, Terry is now subject to a primary obligation to provide her with compensatory damages 
D)  Julia is entitled to either sue Terry for damages in tort or prosecute him of a crime. 
E)  Terry cannot be held liable in tort if he already has been convicted of a crime as a result of his use of Julia's computer. 
A)  Terry may be held liable in tort even if he has already been convicted of a crime as a result of his use of Julia's computer. 
B)  Julia is entitled to an injunction that would force Terry to pay for the monetary value of his use of her computer. 
C)  because he breached the secondary obligation that he owed to Julia, Terry is now subject to a primary obligation to provide her with compensatory damages 
D)  Julia is entitled to either sue Terry for damages in tort or prosecute him of a crime. 
E)  Terry cannot be held liable in tort if he already has been convicted of a crime as a result of his use of Julia's computer.

Exam 3: Introduction to Torts

Most alternative compensation schemes apply only if an injury is the result of a wrongful act.

Ethical Perspective 3.1 discussed the Supreme Court of Canada's decision in Bazley v Curry. Which of the following statements is TRUE?

Which of the following statements is TRUE?

Explain, from a risk management perspective, why liability insurance may be more important with respect to liability in tort than with respect to liability for breach of contract.

Which of the following statements is TRUE with respect to the doctrine of vicarious liability?

Which of the following statements is TRUE with respect to alternative compensation schemes?

Cheyenne committed the tort of battery against Joey. A court held that Joey is entitled to recover damages from her. Identify and briefly explain three types of damages that the court might have awarded.

Makayla successfully sued Deacon for the tort of defamation. In that situation, the term tortfeasor refers to

Explain how torts are classified according to the degree of mental culpability. Your answer should include examples of each category within that classification system.

Although the same set of events may support both a law suit in tort and a criminal prosecution, a civil action will not succeed if a wrongdoer has already been convicted of a criminal offence.

Briefly identify and explain the manner in which tort obligations and contractual obligations generally arise. Briefly explain why tort obligations create a greater hazard for the purposes of risk management.

Which of the following statements is TRUE with respect to the relationship between tort and contract?

Terry committed a tort against Julia by using her computer, without her permission, while she was away on vacation. Which of the following statements is TRUE?

Risk Management and Sources of Law

Litigation and Alternative Dispute Resolution

Intentional Torts

Miscellaneous Torts Affecting Business

Negligence

The Nature and Creation of Contracts

Consideration and Privity

Representations and Terms

Contractual Defects

Discharge and Breach

Contractual Remedies

Special Contracts: Sale of Goods

Special Contracts: Negotiable Instruments

Real Property: Interests and Leases

Real Property: Sales and Mortgages

Personal Property: Bailment and Insurance

Knowledge-Based Businesses and Intellectual Property

Electronic Commerce

Agency and Other Methods of Carrying on Business

Basic Forms of Business Organizations

Legal Rules for Corporate Governance

Secured Transactions

Dealing With Bankruptcy and Insolvency

Government Regulation of Business

Individual Employment

Organized Labour

Doing Business in a Global Economy

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