In: Operations Management
NOTE: This question is from LAW 001 Business Law I
a. Adam would sue Eva under the theory of negligence. The tort that occurs when someone suffers injury due to the other party’s failure to exercise the duty of care is called tort of negligence. Here Adam had to suffer injuries due to Eva’s failure to exercise reasonable care while driving. Hence Adam can sue Eva for negligence.
b. Eva’s duty of care at the time of the accident was to exercise reasonable care while driving by paying attention to other passengers, vehicles and traffic signals and avoid causing accidents and injuries to others.
c. Adam can show but-for causation by showing that “but for” Eva’s failure to pay attention to the red signal which made him stop the car, the injury would not have occurred. The proximate cause can be proved by showing that the consequences of her lack of attention while driving was foreseeable to Eva.
d. The damages would be calculated based on compensatory as well as consequential damages. Hence the amount spent on medical bills ($10000), the loss suffered in lost wages($4000) and any other consequential losses based on the injury would be considered while calculating the damages.
e. Adam is likely to get a maximum of $15,000 because even if the damages exceed $15000, the maximum amount the insurer will pay is $15,000 and Eva has no other personal assets to cover the rest.
f. Adam should file the lawsuit in civil court because civil law enforces all the rights and duties between persons and this case based on negligence is a civil case as it is brought to make the other party pay for the damages caused by the failure to perform his/her duty. The plaintiff is the person who brings the lawsuit and the defendant is the person against whom the lawsuit is brought. Hence Adam is the plaintiff here and Eva is the defendant.
g. If Adam was driving under the influence at the time of the accident, Eva could use that to her advantage by using the defense of assumption of risk. As the chances of accidents are high while driving under influence, Eva can show that he has voluntarily assumed the injury from the accident by choosing to drive under influence. The plaintiff will not be allowed to recover on damages if the plaintiff has voluntarily entered into the risky situation understanding the risks involved.