BUSN623 Week 6 Assignment
Case Studies Selection
The following three Case Studies are hypothetical simulations related to business tort situations. Choose ONE of these to complete yourWeek 6 Assignment. References to support your analysis and conclusion for recommendations should be drawn from your research using relevant Course Learning Materials and additionalresearch from other credible sources. The Assignment directs sources that must be used as wellas your own research.
Guicjing questions are provided with each Case Studyto assistyou. These questions are NOT meant to be answered as a sequence or a “list” in your PPT. These are provided to assistyour analysis to prepare your ORIGINAL presentation about the case study you select. Follow the directions in the Main Prompt of the Assignment alongwith the Case Studyto organize a cohesive PPT presentation.
Case Study – Scenario 1 Slip and Fall on Business Premises
[Common Law Tort Applies]
Fact Pattern:
Floria Fortune, a 45-year-old customer, visits a popular cafC owned byyour company. While walkingto hertable, she slips on a wet tilefloor, falls, and fractures herwrist. The cafC’s own policy requires “Caution: Wet Floor” signs after cleaning, but on this occasion, the sign was missing due to an oversight by a new employee.
Securityfootage reveals jane was distracted by her phone while vvalking at the time of thefall and therefore may not have noticed the visiblydamp floor. jane files a lawsuit against the company aiieging negligence, seeking $10,000 in medicalexpenses and $25,000 for pain and suffering. Whatis the company’s liability?
The cafC’s insurance company raises the possibility of arguing comparative negligence as a mitigating defense, because of jane’s distraction on her phone. Is that a viable defense?
The case also raises proximate cause questions: was the cafC’s failure to displaythe sign the sole cause of herinjuries? Wasthe sign required?
Evaluate the cafC’s legalrisks illustrated bythe case study incluchng ethical implications of blaming a customer. Recommend a legaland ethical resolution.
Questions to incorporate into your presentation:
Thefollowing guidance will help you develop your analysis of this case study forthe elements outlined in the Assignment.
Evaluate law & iegai risk (CO-l, LO-1.2, LO-l .5):
o Whattort principles apply?
o What are the primary iegai risks undertort law associated with
this incident?
o How does the principle of proximate cause applyto the cafC’s
liability?
o What elements of negligence are present in this case? Was the
cafC’s failure to displaythe “Wet Floor” a breach of duty?
o How i”night the concept of comparative negligence influence the
outcome of the case? Is the insurance company’s suggestion somethingthe company should consider?
o What ethicalconsiderations arise from potentially blarningthe
customerforthe accident?
o How should the cafC balance legaldefenses with maintaining
customer trust and goochivill?
Recommend a resolution (CO-5, LO-5.3):
o Recommend a resolution forthis case to minimize legalliability, aiign
with ethicalstandards, and action goingforward forthe company from lesson learned from this event.
Research:
o Lingvvall course text – Week 5 reading/torts o Weiss course text for ethics guidance o At least one court case
o See Week 5 Lesson
See Assignmentfor PPT help videos and Gracjing Rubric
Continueto Next Page For Case Study- Scenario 2
Case Study – Scenario 2 Manufacturing Defect & Warning LabelAccuracy
[Product Liability Tort]
Fact Pattern:
Your company, a mid-sized appliance manufacturer, launched a best-selling blender. However, complaints have arisen about the blender’s blade assembly detaching during use, causing injuries.
Henry Halloran, a customer, files a product liability claim againstyour company afterthe blender blade broke during operation, resultingin his suffering severe hand lacerations that required surgery.
An internalreview identifies a defect in the supplier-provided blades, but the issue was flagged duringyour company’s quality control, and the units were shipped anyway due to tight production deadlines. Complicating matters, the blender’s user manualdid not include a specific warning about checking the blade assemblyforlooseness before use.
Henry seeks $500,000 in damages, incluchng medicalcosts, lost wages, pain & suffering, and punitive damages. Meanwhile, a consumer advocacy group is pushingfor a recall, which could cost the company millions. Considerthe legaland ethicalimplications of the company’s failure to act on quality controlwarnings and whether the lack of a warning label exacerbates liability. Also considerthe question of recall. What are your recommendations?
Questions to incorporate into your presentation:
The following guidance will help you develop your analysis of this case study forthe elements outlined in the Assignment.
Evaluate iegai risk & tort law principles (CO-l, LO-1.2, LO-1.5):
o Whattortlaw principles apply?
o What legalrisks does the companyface from the defective blade
assembly?
o How does the failure to act on quality controlwarnings impact iegai
liability? Ethics?
o Could the absence of a specific warning labelincrease the company’s
exposure to iitigation or damages?
o On what basis riiight punitive damages be awarded? Whatfactors in
this case could influence this decision?
Integrate Legal Compliance and Ethics (CO-5, LO-5.1, LO-5.2):
o What ethicalobligations does the company have to its customers in
light of the defect?
o How should the company address the consumer advocacy group’s
concerns?
Recommend a Resolution (CO-5, LO-5.3)—consider:
o Should the company initiate a recall?Why orwhy not?
o What steps can the companytake to rebuild customertrust while
managingfinancialrisk?
o Should the company be taking other inhouse steps goingforward? o What should bethe approach to this lawsuit?
o Recommend a resolution forthis case to minimize legalliability, aiign
with ethicalstandards, and action goingforward forthe company from lesson learned from this event.
Research:
o Lingvvall course text – Week 5 reading/torts o Weiss course text for ethics guidance o At least one court case
o See Week 5 Lesson
See Assignmentfor PPT help videos and Gracjing Rubric
Continue to Next Page For Case Study-Scenario 3
Case Study – Scenario 3
Business Defamation
[Common Law]
Fact Pattern:
Your company, a regionalelectronics retailer, is accused in a viral online post of seiiing counterfeit smartphones. The post, made by”Rocky H,” a recently terminated employee, alleges that the company knowingiy stocks counterfeit products and engages in deceptive sales practices. Although the allegations are false, the post gains traction, leacjing to a 20% sales decline in two weeks.
Your investigation reveals that Rocky H was fired for stealing store inventory. The company’s internal records show all products were purchased from verified suppliers. However, Rocky H has contacted a local journalist, who is preparing a story based on his allegations.
You must assess the legaland business risks of pursuing a defamation lawsuit against Rocky H and possiblythe journalist and her publisherif they publish the story.
Can you prove the employee acted with actualmalice, especially if the journalist publishes a story before the suit is filed? Do you need actual malice?
Additionally, consider the costs of iitigation versus the potential reputational damage to your company resultingfrom a public trial.
Your legalteam also suggests alternative measures, such as issuing a public rebuttal and requesting retraction of the defamatory statements. Overall-what are the legalissues and options and related ethical implications?
Questions to incorporate into your presentation:
Thefollowing guidance will help you develop your analysis of this case study forthe elements outlined in the Assignment.
Evaluate law and iegai risk (CO-l, LO-l .2, LO-l .5):
o Whattort principles apply?
o What are the defamation elements that apply in this case (incluchng
the issue of actualmalice)?
o What are the iegai risks of pursuing a defamation lawsuit?
o Consider both Rocky H and the journalist’s publications separately.
o Does the socialmedialviral aspect of the story affect the company’s
analysis?
Integrate Legal Compliance and Ethics (CO-5, LO-5.1, LO-5.2):
o What ethicalconsiderations arise in balancing the company’s
reputation with the risks of public iitigation?
o Should the companyfocus on repairing its reputation ratherthan
pursuing legalaction?
Recommend a Resolution (CO-5, LO-5.3):
o What strategies can the company use to mitigate reputationaldamage?
o Would issuing a public statement or seeking a retraction be more effective than
fiiing a lawsuit?
Research:
o Lingvvall course text – Week 5 reading/torts o Weiss course text for ethics guidance o At least one court case
o See Week 5 Lesson
See Assignmentfor PPT help videos and Gracjing Rubric.