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Chapter 6 lecture slides. 1. BUSINESS LAW: Text & Cases — Legal, Ethical, International, and E-Commerce Environment 11th Ed. Chapter 6 Intentional TortsCopyright © 2009 South-Western Legal Studies in Business,a part of South-Western Cengage Learning. §1: Basis of Tort Law Doing business today involves risks, both legal and financial. A tort is a civil injury designed to provide a remedy (damages) for injury to a protected interest.
The Twelfth Edition of Business Law: Text Cases (Clarkson, Miller & Cross), says that formal contracts are, 'contracts that require a special form or method of creation to be enforceable.' It uses negotiable instruments as an example of formal contracts, such as: checks, drafts, promissory notes, and certificates of deposit. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. Also called “king's courts”: judges were appointed by the king. Remedies limited to those provided at law, i.e.,.
– Compensatory: reimburse plaintiff for actual losses. – Special: quantifiable losses, such as medical expenses, lost wages, and benefits. – General: non-monetary, such as pain and suffering, reputation.
– Punitive: punish the wrongdoer.Copyright © 2009 South-Western Legal Studies in Business, 2a part of South-Western Cengage Learning. §2: Intentional Torts Against Persons The person committing the tort, the Tortfeasor or Defendant, must “ intend” to commit the act. Intend means: – Tortfeasor intended the consequences of her act; or – She knew with substantial certainty that certain consequences would result.Copyright © 2009 South-Western Legal Studies in Business, 3a part of South-Western Cengage Learning. Types of Intentional Torts Assault and Battery. False Imprisonment.
Infliction of Emotional Distress. Defamation. Invasion of Privacy.
Business Torts.Copyright © 2009 South-Western Legal Studies in Business, 4a part of South-Western Cengage Learning. Assault and Battery ASSAULT is an intentional, unexcused act that: – Creates a reasonable apprehension or fear of, – Immediate harmful or offensive contact. – NO CONTACT NECESSARY.
BATTERY is the completion of the Assault: – Intentional or Unexcused. – Harmful, Offensive or Unwelcome. – Physical Contact.Copyright © 2009 South-Western Legal Studies in Business, 5a part of South-Western Cengage Learning.
Defenses to Assault & Battery Consent. Self-Defense (reasonable force).
Defense of Others (reasonable force). Defense of Property.Copyright © 2009 South-Western Legal Studies in Business, 6a part of South-Western Cengage Learning. False Imprisonment False Imprisonment is the intentional: – Confinement or restraint. – Of another person’s activities. – Without justification. Merchants may reasonably detain customers if there is probable cause.Copyright © 2009 South-Western Legal Studies in Business, 7a part of South-Western Cengage Learning. Intentional Infliction of Emotional Distress An intentional act that is: – Extreme and outrageous, that – Results in severe emotional distress in another.
Most courts require some physical symptom or illness.Copyright © 2009 South-Western Legal Studies in Business, 8a part of South-Western Cengage Learning. Defamation Right to free speech is constrained by duty we owe each other to refrain from making false statements. Orally breaching this duty is slander; breaching it in print or media (and internet) is libel.Copyright © 2009 South-Western Legal Studies in Business, 9a part of South-Western Cengage Learning.
Defamation Publication Requirement: gravamen of defamation is the “publication” of a false statement that holds an individual up to hatred, contempt or ridicule in the community. Publication requires communication to a 3 rd party.Copyright © 2009 South-Western Legal Studies in Business, 10a part of South-Western Cengage Learning. Damages for Libel General Damages are presumed; Plaintiff does not have to show actual injury. General damages include compensation for disgrace, dishonor, humiliation, injury to reputation and emotional distress.Copyright © 2009 South-Western Legal Studies in Business, 11a part of South-Western Cengage Learning. Damages for Slander General Rule: Plaintiff must prove “special damages” (actual economic loss). – Exception: Slander Per Se.
No proof of damages is necessary when the statement is involves:. Loathsome disease,. Business improprieties,. Serious crime,.
Woman is non-chaste.Copyright © 2009 South-Western Legal Studies in Business, 12a part of South-Western Cengage Learning. Defenses to Defamation Truth is generally an absolute defense. Privileged (or Immune) Speech. – Absolute: judicial & legislative proceedings. – Qualified: Employee Evaluations.Copyright © 2009 South-Western Legal Studies in Business, 13a part of South-Western Cengage Learning.
Defamation-Public Figures Public figures exercise substantial governmental power or are otherwise in the public limelight. To prevail, they must show “actual malice”: statement was made with either knowledge of falsity or reckless disregard for the truth.Copyright © 2009 South-Western Legal Studies in Business, 14a part of South-Western Cengage Learning. Invasion of Privacy Every person has a fundamental right to solitude freedom from public scrutiny. – Use of Person’s Name or Likeness. – Intrusion on Individual’s Affairs or Seclusion.
– Publication of Information that Places a Person in False Light. – Public Disclosure of Private Facts. CASE 6.1 Anderson v.
Michigan (2007).Copyright © 2009 South-Western Legal Studies in Business, 15a part of South-Western Cengage Learning. Appropriation Use of another’s name, likeness or other identifying characteristic for commercial purposes without the owner’s consent. – Issues:.
Degree of Likeness. Right of Publicity as a Property Right.Copyright © 2009 South-Western Legal Studies in Business, 16a part of South-Western Cengage Learning. Fraudulent Misrepresentation Fraud is intentional deceit.
Elements: – Misrepresentation of material fact; – Intent to induce another to rely; – Justifiable reliance by innocent party; – Damages as a result of reliance; – Causal connection. Opinion (not puffery).Copyright © 2009 South-Western Legal Studies in Business, 17a part of South-Western Cengage Learning. Frivolous Litigation Generally, each of us has the right to sue when we have been legally injured.
Torts related to abusive or frivolous litigation include: – Malicious prosecution, and – Abuse of process.Copyright © 2009 South-Western Legal Studies in Business, 18a part of South-Western Cengage Learning. §3: Business Torts- Wrongful Interference Tort involving a contractual relationship. Occurs when: – Defendant knows about contract between A and B; – Intentionally induces either A or B to breach the contract; and – Defendant benefits from breach.Copyright © 2009 South-Western Legal Studies in Business, 19a part of South-Western Cengage Learning. Business Torts- Wrongful Interference In a business relationship occurs when: – There is an established business relationship; – The Tortfeasor, using predatory methods, causes relationship to end; and – Plaintiff suffers damages. Permissible behavior (bona fide competition) or justified behavior are defenses to this tort.Copyright © 2009 South-Western Legal Studies in Business, 20a part of South-Western Cengage Learning. §4: Intentional Torts Against Property Trespass to land occurs when a person, without permission: – Physically enters onto, above or below the surface of another’s land; or – Causes anything to enter onto the land; or – Remains, or permits anything to remain, on the land.
– Defenses: trespass is necessary, or trespasser is a licensee.Copyright © 2009 South-Western Legal Studies in Business, 21a part of South-Western Cengage Learning. Intentional Torts Against Property Trespass to personal property is the Intentional interference with another’s use or enjoyment of personal property without consent or privilege.
– CASE 6.2 Register.com, Inc. Conversion. Disparagement of Property. Slander of Quality or Title.Copyright © 2009 South-Western Legal Studies in Business, 22a part of South-Western Cengage Learning.
§ 5: Cyber Torts Defamation Online. – Immunity of Internet Service Providers. – Piercing the Veil of Anonymity. CASE 6.3 Fair Housing Council of San Fernando Valley vs. Roommate.com, LLC (2007).Copyright © 2009 South-Western Legal Studies in Business, 23a part of South-Western Cengage Learning. Cyber Torts Spam (unsolicited email).
– Spam as Trespass to Personal Property. Statutory Regulation of Spam.
– Minnesota requires unsolicited email to state “ADV” in the subject line. – California has a stringent “opt-in” requirement.Copyright © 2009 South-Western Legal Studies in Business, 24a part of South-Western Cengage Learning. Cyber Torts Federal CAN-SPAM Act (2004) applies primarily to commercial emails. Requirements: – Return email address. – Clear notice the email is an AD. – Provide “opt out” mechanism (10 days to act). – Label sexually explicit emails.
Does it work-Problems???Copyright © 2009 South-Western Legal Studies in Business, 25a part of South-Western Cengage Learning.