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Business Law 12th Edition by Roger LeRoy Miller ,Frank Cross
Edition 12ISBN: 978-1111530594Business Law 12th Edition by Roger LeRoy Miller ,Frank Cross
Edition 12ISBN: 978-1111530594 Exercise 12
A QUESTION OF ETHICS: Defamation.
Aric Toil owns and manages the Balboa Island Village Inn, a restaurant and bar in Newport Beach, California. Anne Lemen owns the "Island Cottage," a residence across an alley from the Inn. Lemen often complained to the authorities about excessive noise and the behavior of the Inn's customers, whom she called "drunks" and "whores." Lemen referred to Theresa Toll, Aric's wife, as "Madam Whore." Lemen told the Inn's bartender Ewa Cook that Cook "worked for Satan," was "Satan's wife," and was "going to have Satan's children." She told the bin's neighbors that it was "a whorehouse" with "prostitution going on inside" and that it sold illegal drugs, sold alcohol to minors, made "sex videos," was involved in child pornography, had "Mafia connections," encouraged "lesbian activity," and stayed open until 6:00 a. m. Lemen also voiced her complaints to potential customers, and the Inn's sales dropped more than 20 percent. The Inn filed a suit in a California state court against Lemen, asserting defamation and other claims. [ Balboa Island Village Inn, Inc. v. Lemen, 40 Cal.4th 1141, 156 P.3d 339 (2007)]
(a) Are Lemen's statements about the Inn's owners, customers, and activities protected by the U.S. Constitution? Should such statements be protected? In whose favor should the court rule? Why?
(b) Did Lemen behave unethically in the circumstances of this case? Explain.
Aric Toil owns and manages the Balboa Island Village Inn, a restaurant and bar in Newport Beach, California. Anne Lemen owns the "Island Cottage," a residence across an alley from the Inn. Lemen often complained to the authorities about excessive noise and the behavior of the Inn's customers, whom she called "drunks" and "whores." Lemen referred to Theresa Toll, Aric's wife, as "Madam Whore." Lemen told the Inn's bartender Ewa Cook that Cook "worked for Satan," was "Satan's wife," and was "going to have Satan's children." She told the bin's neighbors that it was "a whorehouse" with "prostitution going on inside" and that it sold illegal drugs, sold alcohol to minors, made "sex videos," was involved in child pornography, had "Mafia connections," encouraged "lesbian activity," and stayed open until 6:00 a. m. Lemen also voiced her complaints to potential customers, and the Inn's sales dropped more than 20 percent. The Inn filed a suit in a California state court against Lemen, asserting defamation and other claims. [ Balboa Island Village Inn, Inc. v. Lemen, 40 Cal.4th 1141, 156 P.3d 339 (2007)]
(a) Are Lemen's statements about the Inn's owners, customers, and activities protected by the U.S. Constitution? Should such statements be protected? In whose favor should the court rule? Why?
(b) Did Lemen behave unethically in the circumstances of this case? Explain.
Explanation
Verified
Verified
(a) Protection of Lemen's Statements:
A...
Business Law 12th Edition by Roger LeRoy Miller ,Frank Cross
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