Managers and the Legal Environment 7th Edition by David Madsen, Constance Bagley

Exercise 1

In the classic case of Riley v. Standard Oil Co. of New York ,14 a child was hit and severely injured by Million, a truck driver employed by Standard Oil of New York. The driver had been instructed to drive a company truck from the Standard Oil mill to a nearby freight yard. Before leaving the mill, however, he drove to his sister's house, which was about four blocks in the opposite direction from the freight yard. Million unloaded some scrap wood at her house, and then, while driving to the freight yard, he hit the child. Should Standard Oil of New York be liable for Million's accident? Would your answer be different if the accident had occurred on the way to Million's sister's house? What other factors might affect your answer?