In: Accounting
Please use IRAC.
1. Bob, a sole proprietor, owns a well-know aquatic park in the city of Bakersfield. One day, one of Bobs worst employees was messing around with the music system set up in the back. Without acknowledgement, Bob’s worst employee tripped on a wire and accidentally cut the wire to the point were there was a dangerous shortage. John, Bob’s newest employee noticed the accident and immediately notified Bob. Without taking a second look, Bob told John, “I am sure it’s not big deal, just get back to work.” Next week, a child was playing near the pool in the back and when jumping in the pool, the child tripped on the cord and got electrocuted. The child had 3rd degree burns resulting in a hospital bill of $160,000. The child’s mother consults with you and asks whether they have a personal injury claim against Bob, even though it was Bob’s employee’s fault?
Please use IRAC.
Issue - Is Bob responsible for his worker's mistakes.
Rule - An executive has a common responsibility for the
activities of he/she subordinate. Following office bond, the work
is responsible no matter what he/she employee does while the
progression of a job.
Application - Bob's workers pretended carelessly when
administering with the circumstance. Bob himself was neglectful to
the circumstance by ignoring the immediate danger. Bob, doing a
single owner, is responsible for the mistake of the workers as the
whole occurrence occurred during the course of their
jobs.
Conclusion - Bob is responsible for the injuries made to
the child due to the carelessness of his agent and would have to
compensate for the injuries made by the act including the price of
medication and other accidental charges.
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