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MGMT 211 Test 2
Ch. 5-6
80
Management
Undergraduate 2
02/19/2008

Additional Management Flashcards

 


 

Cards

Term
tort
Definition
civil wrong other than breach of contract for which the law provides a remedy
Term
purpose of tort
Definition
  1. compensation and appeasement- ex. retaliation, compensation to victim and satisfaction that defendant had to pay
  2. justice- wrong doer ought to pay
  3. deterrence- prevention, alters behavior, makes public policy prescriptions based on efficiency: Lease cost avoider of accident is responsible
  4. social insurance- spreads loss of injury
Term
compensatory damages
Definition

past and future medical expenses, economic loss, future pain and suffering

Term
punitive damages (punish)
Definition
  • awarded for gross negligence or willful and wnaton disregard for safety
  • 8th amendment doesn't apply-browning-ferris industires of vermont inc. v. kelco
  • tort reform (3 or 4 times actual damage)
  • issurance company puts limit on court cases by making donations to politicians
Term
how businesses are involved
Definition

due to action of business or its employees (deep pockets theory)

business against other business

business products

why? because lawsuit happy and businesses can afford it

Term
3 types of torts
Definition

intentional

neglicence

strict liability

Term
intentional torts and types
Definition

intent= meant to do the act not neccessarily the harm

 

personal and property

 

malicous intentional=meant to hurt

Term
personal intentional torts
Definition
  1. assault
  2. battery
  3. assault and battery
  4. false imprisonment
  5. intentional infliction of mental distress
  6. invasion of privacy
  7. defamation
  8. malicious prosecution
  9. fraudulent misrepresentation
Term
assault
Definition

intentional act placing a person in fear of bodily harm or offensive contact:

must know of action, fear even if no threat (hill v. western union telegraph)

business involvement: through acts of employees: employ threatens, ex. security gaurd

 

verbal

Term
battery
Definition

unlawful touching or physical contact w/out consent

can be w/ gun or rock

physical harm not required just offensive

can have without assalt-didn't see it coming

if consent-can't sue-football field

Term
defenses to assault and battery
Definition
  1. defense=legal justification to commit tort 
  2. expressed or implied consent -(can go beyond consent-hockey)
  3. privilege -(cop patting down),
  4. self defense -(defend self or others, reasonable, only deadly force if it is used against you first, property-no deadly force under common law, tx-can go further, duty to flee
Term
false imprisonment
Definition

intentional holding or detaining of a person w/in boundaries if person is harmed by detention

confinement=physical restraight, use threat to restrain, force or theat against person's property, retain someone in custody when supposed to be released

shoplifting=problem=shopkeepers privilege (can detain but are getting sued), some states have statues that say you can't be sued but not tx

Term
Intentional infliction of Mental Distress
Definition

intentional conduct by a person that is so outrageous that creates severe mental or emotional distress in another

-has to be outrageous and extreme conduct and beyong the bounds of decency

-usually requires physical harm for proof

-ex. collection agencies late at night

-ex. kid in mental hospital, father distressed

Term
invasion of privacy
Definition

invasion of a person's right to solitude, an unwarranted public exposure, not in constitution but constitutional right

-use of persons name w/out permission (adversiting)

-intrusion of solitue (break in house, wiretap)

-public disclosure about private thing (credit card report)

-public disclosure which places person in false light (actor=communist)

 

-public figures lose lots but not all

-unwarranted does not mean unwanted (naked motocycle)

-public records are okay

Term
defamation
Definition

intentionally making a statement that is false and injures a person's good name or rep

libal=written or recorded, slander=oral

has to be false

public figure=has to prove that person made statement knew it was false (hard to prove) (made with malice)

must be published/broadcasted to 3rd party

harm-can be inferred

Term
defenses to defamation
Definition

truth- the only absolute one

absolute priviledge-freedom of speech is great (court)

constitional privileges- statements made by legislators and other public offcial (type of absolute) (limited: Hutchinson v. Proxmire-golden fleese

conditional or qualified- made in goodfaith -made to protect in recognized interest- dr. says you have been exposed to aids

 

Term
malicious prosectution
Definition

wrongful use of legal proceeding, civil or criminal

hard to win- must win all lawsuits against you then must prove that opposing party had no probable cause and must prove malicious conduct

Term

fraudlent misrepresentation: Fraud

 

 

Definition

1. misrepresentation of mat. facts 2. know that it is false 3. intent to induce another to rely on lie 4. reliance by deceived party 5. damages because of reliance 6. casual connction b/t misrepresentationa dn injury suffered

 

conman.    more than puffery (sellers talk (opinion))

can occur with failure to speak, concealment, actions, state something as true when really dont know

Term
business intential tort
Definition
product disparagement, false adversing, intention interference with contractual relations. interference with prospective eco advantage
Term
product disparagement
Definition

business term for defamation

has to be: untrue statement about plaintiff's product or property, defendant knew statement was false, made with malice, special damages (lost at least one customer

a 3rd party has to hear

Term
false advertising
Definition

like disparagemtn but deals with your product

false statement about your product

under lanham act 43a

Term
intentional interference with contractual relations
Definition

valid contract between 2 parties, 3rd party must know of contract, 3rd party must make one of the two parties break contract. often punitive damages

interfering with employment: bus. 1 already trained employees so lost money, employment contract helps to define conditions, difficult to prove if implied contract, employment at will

10 bill jury award- texaco, made gaddy break contract with penzoil, settles for 3 bill

Term
interference with prospective eco advantage
Definition

not universal (not in tx), no contract required. steal customers during negotitations: must have intention interference and unreasonable and improper manner

 

kidnapping cutstomers: predatory behavior or go into business simply to drive competitor out of business then raise prices

Term
property intentional torts
Definition

trespass to real property, trespass to personal property, conversion, nuisance, infringement

Term
basic property law
Definition

real property- anything permantently attached to land

person prop- any other prop

tangible- touchable, intangible- stocks, lease, accts, intellectual property

Term
trespass to real property/land
Definition

person wtihout permissions enters onto, above, below surface that is owned by another; causes anything to enter onto the land; or remains on the land or permits anything to remain on it after being told to leave NO HARM NECESSARY.

 

owner must implicity or espressly say that person is trespasser: expressly:sign, telling; Implicitly=theif

Term
liablity
Definition

trespasser liable for damages

owner not liable for trespasser damages (some states dont follow)

reasonable duty: duty to warn in certain circumstances-bad dog-makes owner liable

attractive nuisance-doctrine- young kids are attacted to something- pol

Term
self defense from trespasser
Definition
owner can remove trespasser from premises through the use of reasonable force wtihout being liable for A and B
Term

trespassing defenses

Definition

enters to assist someone in danger even if the other person is a trespasser

trespasser enters to protect property

still a trespasser but has a defense

Term
trespass to personal prop
Definition

wrongfully harming or interfering with personal property owner's right to the exclusive prossession and enjoyment of their property

interntion meddling (car vandallism)

defense: if in good faith ex. artisan's lien

when intentional- money damages to cover actual damages and can include punititive damages

damage=value of loss time, if stolen then conversion

Term
conversion
Definition

simple theft but civil side

non defense=good intentions, busing stolen goods and mistake

defence=necessity (animal for rabid test) and purported owner doesnot in fact own property

remedy: payment for stolen thing, hard to do if in jail

Term
trespass to personal property v. conversion
Definition

what was the extent of dominion or control, how long did interference last, damage to property, inconvneience or expense to owner

 

more extreme answer=more likely converstion

Term
nuisance
Definition

any conduct that interferes w/ enjoyment or use of land

must be unreasoable  interference, effects externalities

public=effect public at large, city contract out so can't sue

private= effects few people

remedy= damages, injunction

must be non-contractual: can settle nuisance by contract then it isn't a tort anymore, breach= tort

matters in tx if you moved to nuissance or not

Term
infringlement  (of intellectual property)
Definition

copy rights

patents

trademarks and service marks

trade names

trade secrets

very active and constitutionally protected (patents &copyrights

article 1 sec. 8

Term
copy rights
Definition

not covered: actual news events, historical info, scientic info, ideas, processes inventions (patent it) compilation of factual info( phone book), trademarks

obtaining: claim it and write it down, mail to self

 can either get actual or staturoty damages

fantasy5 v. forgerty

Term
copy right act of 1976
Definition

gives automatic right

registration process-makes it open to public

obtain form, fill out, return to us copyright office

pay fee, send works

Term
remedies against infringers- copy right
Definition

registered: injunction, impounding copies, attornery's fee, actual (damages actually suffered) or statutory (caries for each copy had and sold) damages

not registered: injunctions, impoudning, actual damages. dont get stat or attorney fees which are usually the highest

Term
proving a copyright infringement
Definition

1. alleged infringer must have had access to copyright work

2. substantial similarity between copyrighted work and pirated work (expert witnesses to prove, average person must agree)

Term
duration
Definition

sonny bono copyright extension act of 1998 (disney)- author's lifetime +70 years, publisher- 95 years after publication, 120 years after creation

congress is only one who can extend  because federal

Term
rights of copyright holder's exceptions
Definition

compulsory licensing= must grant permission to anyone to use work after the work has been done in public but you get royalities, can apply for cable tv. ASCAP BMI

fair use doctrine= 4 prong test: purpose and character (non-profit and edu), nature of copyright work, % of tot used, effect on value on c.r. work

internation copyright problems(us was problem and didn't sign brene  convention and internet problems

Term
patents
Definition

federal patent statute of 1952

must be regstered with US patent and traemark office: complicated and expensive

good for 20 years

owner has exclusive right to patent - monolpolies

patent office board of appeals

patent infringers must pay royalities and destory anything they still have like patent

must apply in every different country

Term
patent examples
Definition
creation or invention of new, improvements to existing, processes, designs used in manufacting (only 14 years), asexually reprouced plants, livin material that was created by man, cloning, generically engineered plants
Term
trademarks and service marks
Definition

federal lanhamact (trademark act of 1946) and state: common law and statutory

purpose is to prevent customer confusion

register under lanham: ifno use throughout country can reister, if conflict competition can obect

TM=pending r=registered

unlimited renewal

can't be flas, name portrait or signature of living person, exclusively geographic names, descriptive terms

Term
trademark and serivemark duration
Definition

ten years

can be extended

can lose it in 2 years if dont use it

can be inefinite

register in last 6 mo. for another 10 years

Term
trademark
Definition

colors (golden arches)

sounds MGM lion roar, NBC, AT&T tone, not harvey davidson motor sound

 

fruit of the loom!=fruit

Term
trademark and serivce mark revisions
Definition

trademark law revision act: buusiness owener's right to treble damages: sue for 3x your dmages and the ability to register trademark ahead of use

 

federal tademark dilution act of 1995: burring=unrelated product uses trademark, tarning-using trademark in negative fashion

Term
internet problems
Definition

cybersquatting: registering a corp's name as a website ex. coke a cola.com

 

antimcybersquatting consumer protection act of 1999

 

felony

Term
trade dress
Definition

infriner steals the entire inherenet istinctive look of competitor-copy whole thing

 

two pesos case=taco cabana

wal-mart case= desginer dresses

Term
trade names
Definition

apply to art or all of business name

good will or the business, good name of the business

can't be reistered

normally state law, has to be earned. must be uniue or fanciful

must be earned

Term
trade secrets
Definition

anything businesses want to keep secret

cocacola formula

state law: must be orginal and ecret: inustrial espionage, need for employment contracts

uniform trade secrets (not helpful) can sue under misappropriation
damages: injunction, criminal sanctions, profits that pirated material made

Term
negligence
Definition

unintentional but careless or reckless conduct

duty, breach, harm, causation

Term
duty of care
Definition

arises when person should foresee that conduct would create uneasonable risk of harm to others

ex. taret shooting in rural v. urban area

can elevate your uty of care: doctors

samaritan law-protects those who try to help (statory law)

Term
failure to exercise care
Definition

uses reasonable person test

breach

type of activity dictates required degree of care

higher standard if care required if have or claim to have special knowledge or skill
US v. carroll towing

hand formula

Term
injury or harm
Definition

physical har, may be enough to have only mental harm in limited proper situations

Term
causation
Definition

breach must cause the harm

two types: cause in fact and actual case

Term
cause in fact
Definition

actual cause

but for test

ominoes

 

Term
proximate cause
Definition

reasonable forseeble:

consequences must bear a reasonable relationship to the negligent conduct

harm must be foreseeable

palsafraf. long island railroad co

sate modification of palsfraf: defendance must have known harm would result (tx), defendant must be a substanital factor in bringing about the harm (cali)

Term
defenses to negligence
Definition
influencin the potential plaintiff's behavior, assumption of risk, contributory negligence, comparative negligence, superseding cause
Term
influencing the potential plaintiff's behavior
Definition

what ist he cost of avoiding the injury?

what is the expected cost/loss from the injury?

 

Term
assumption of risk
Definition

voluntary exposure to a knon risk

you know of the risk, chose to take it and are harm

do not touch signs

Term
contributory negligence
Definition

used to be majority rule

last clear chance doctrine: who had last clear chance to avoid accident is responsible

if both parties are negligent, no recory

does not take into consideration how muhc neglignce

now minority view

Term
comparative negligence
Definition

degrees

compare negligence, asign %

damages are reduced by percentage of party's own negligence

soe states say if more than 50% negligent, no recorvery (tx)

moral hazard=people dont hlep themselves

Term

superseding cause

Definition

causual connection is broke by intervening act or cause

palsfraf=earthquake before fireworks

dominoes-someone knocks over domino closer to end

Term
strict liability in tort
Definition

you do it,  you pay the damage

liability without fault; abnormall dangerous

rylans v. fletcher: reservoir broke and flooded mine, builder didn't know it was there, still liable

keeping wild animals, tnt

started teh liablity crises

Term
chapter 6: product safety regulations
Definition
Term
spanish american war
Definition
not many casualities but soldiers got sick because the cans of foods had so much bacteria
Term
jungle
Definition

sinclear

created the first food and drug act of 1906 becuase it was so gross

Term
mcPherson v. buick motor comompany
Definition

changed the caveat emptor (let buyer be aware)

her wooden wheel spokes broke and so she crashed her car

the manufacturer of the finish good is liable to consumer if they know the good will be used by the consumer without having it inspected

ford pinto, no duty to warn about obvious but jury feels sorry they do

Term
baxter v. US FORD MOTOR
Definition

ford motor said they had shadder proof glass and baxter bought the car over others becuase of its glass, glass shaddered, ford paid

now advertisements dont make promises

Term
1960s henningensen v. bloomfeild motor
Definition
buttons on dashboard used to be metal iwth metal button, mrs. h got impaled, sued, companies implied cars were safe so mrs. h won
Term

strict liability

greenman v. ubay

Definition

powertools, bolt didn't hold and wood flew, you made it, people get hurt, you pay

 

defense: if the consumer modified the product

 

Term
doctrine of strict liability
Definition

doctrine of strict liability: product is expected to and does reach consumer without substantial change in the condition it was sold, applies if seller uses all car, applies if consume iddn't buy product from seller

 

Term
elements necessary to establish liability under restatement of torts
Definition

injured by a defective product- that injury occurred due to the defect-defect caused product to be unreasonably dangerous= product was defective when it left the manufactuer's control= liability without fault

 

defense: misuse when it is proximate cuase (using lawnmower as hedger) and when they give warnings

Term
rationale for strict liability
Definition
  1. consumers ought to have max protection
  2. only producers can prevent defective products
  3. simplifies inevitable result in court if use negligence and/or warranty theory
  4. manufactures receive benefits for sale and should be responsible as well
  5. "social insurance" theory- manufacturer can pay since they can pass it on
Term

DES case sindell v. abbott laboratories

market sharing

Definition

drug used for 3 years to prevent miscarriages

lead to fetuses having reproductive cancer and sterile

records weren't kept and 5 different companies made

so sued all 5 different companies

so far marketshare liability is limited to DES cases

Term
absolutle libility
Definition

aspestes cases

overtime flake off and cause a certain type of cancer and it is the only way you get that cancer

you dont have to prove where you got it from just prove that you had that cancer

but if you own a building with aspetes you have to get rid of the building

Term
warranty theories
Definition

warranty is a contract

breach of warranty is a breach of contract

magnuson warranty act: if written warranties in consumer foods must confain: instruction on how to remedy defect, to whom warranty expends, limitations on warranty. written warranties must be full or limited

uniform cmercial code section 2-314 provides that all sales by merchants include an implied warranty of merchantablity

Term
carroll towing test
Definition

loss caused by the accident x % probability of the accident > cost of preventing the accident

 

if true then breach of duty exist

 

cost benefits test

Term
strict libiliaty
Definition

cunningham v. macneal memorial hospital: under strict liability the defendant is liable whether or not he was at fault in creating that condition or in failing to discover and elminiate it

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