Pre-Midterm
What's the standard of proof in Civil vs Criminal cases?
Civil = balance of probabilities. Criminal = beyond a reasonable doubt
A clothing store advertises winter coats for $29.99. A customer picks one out and goes to the cashier, but the store refuses to sell it at that price, claiming it was a pricing error. Can the customer enforce the purchase?
No. Advertisements are considered an invitation to treat, not a legal offer. The store is not legally obligated to sell the coat until it accepts the customer's offer to buy.
Ravi, an inventory supervisor with 8 years’ clean record, voids a POS sale and takes $180 headphones; when confronted he denies it, then admits and repays. Based on these facts, how might the employer respond, and would that response be legally justified?
Just cause: theft and dishonesty in a position of trust undermines the employment relationship. Valid reason to terminate work.
An event planner receives a written offer to rent 50 chairs from a supplier. She doesn’t respond formally, but has the chairs delivered and uses them for an event. Has the event planner accepted the offer?
Yes. Acceptance by conduct is valid. By accepting the chairs and using them, the planner demonstrated agreement to the terms.
Sophia decides to start a small bakery as a sole proprietor. She is very successful at first, but then a customer slips and gets injured on her property. Is Sophia personally liable for the injury, and why?
Yes, Sophia is personally liable. In a sole proprietorship, the business owner is fully responsible for all debts and obligations related to the business. This includes any accidents or injuries that occur while operating the business, as there is unlimited liability for the owner.
Mr. Chase has brittle bone disease, a condition that makes him extremely susceptible to injury. Mr. Chase is rolling down the sidewalk when a teenager pushes him over on a dare. As a result, Mr. Chase suffers 100 broken bones and racks up $1,000,000 in medical bills, while a healthy person would have only gotten scratched up. Is the teenager responsible for the entirety of Mr. Chase’s injuries, considering Chase’s condition? What legal principle is invoked here?
Yes, the teenager is responsible for the full amount because of the thin skull rule. The rule states that “you take your victims as you find them” (i.e., you are responsible for the full extent of your victim’s injuries, regardless of any exacerbating conditions).
Clara and Tom enter a contract for Tom to design a website. However, after the contract is signed, Clara changes her mind and agrees with Tom to cancel the contract, receiving her upfront payment back, before any work is done. What type of discharge is this?
This is a mutual release or bilateral discharge. Since neither party has performed any of their obligations yet, they can mutually agree to end the contract without further liability. This is enforceable as a waiver because there is consideration (the mutual agreement to discharge the contract).
What test can be applied to differentiate between an employee and an independent contractor? What does this test ask?
Four-fold test
Control over how/when work is done;
integration/tools supplied;
risk of loss/chance of profit.
A supplier emails Jesse: “If we don’t hear back from you within 5 business days, we’ll assume you want 200 more units and process your order.” Jesse doesn’t respond. Is Jesse legally bound to accept the 200 units due to his silence?
No. Silence does not constitute acceptance, unless there is an established practice between the parties, or Jesse explicitly agreed that silence would count as acceptance. None of that is indicated here.
Sarah is a director at a corporation. She learns about a business opportunity through her role that would benefit the corporation, but instead of informing the company, she secretly takes the opportunity for herself and profits from it. What legal duty has Sarah violated, and what are the potential consequences?
Sarah has violated her fiduciary duty. As a director, she is required to act in the best interests of the corporation and put the corporation’s interests ahead of her own personal interests. By not informing the corporation about the investment opportunity, she is not fulfilling her duty to act with honesty, good faith, and reasonable care. The corporation could potentially take legal action against her for breaching this duty.
What is the difference between Assault and Battery under civil terms?
Assault - Intentional act causing a reasonable apprehension of imminent harmful or offensive contact - no contact.
Battery - The intentional and unpermitted physical contact with another person that is harmful or offensive.
Anna contracts with a rare book dealer to sell her signed edition of a first edition book for $10,000. After agreeing to the sale, the dealer refuses to go through with the transaction. To Anna, money cannot adequately relieve her of her loss of not receiving this book? What remedy can she seek?
Anna can seek specific performance. Since the book is unique, monetary damages may not be sufficient to compensate for the loss. The court may order the dealer to go through with the sale as per the contract’s terms, as specific performance is appropriate when damages are not an adequate remedy.
Scenario: Jimmy is a Rogers Arena Security Guard For Day Events. His Employer unilaterally cuts pay 20% and moves shifts to nights permanently. Is there a claim?
Constructive dismissal (substantial unilateral change to essential terms of the contract). Goes to the root of the contract.
A retail company hires a contractor to complete a new store by June 1 so it can open for the busy summer season. The contract states that for every day the project is late, the contractor must pay $5,000 to reflect expected losses from delayed opening, including lost sales and ongoing expenses. The contractor finishes on June 11, and the company claims $50,000 based on the agreed daily amount. What remedy is the retail company seeking, and would a court likely enforce it? Explain
Liquidated damages - genuine pre-estimate would be enforceable
John purchases 100 shares of a corporation that manufactures electronic products. Later, the corporation faces a lawsuit for defective products. Is John personally liable for the lawsuit, and why?
No, John is not personally liable. As a shareholder of a corporation, John has limited liability, which means he is only liable for the amount of money he invested in the shares. He is not responsible for the corporation’s debts or obligations, such as those arising from a lawsuit.
A Vancouver food influencer posts: “Copper Spoon failed a rat inspection last week, so avoid at all costs,” tagging the restaurant. In fact, the most recent inspection passed with no issues at all. A large corporate client cancels a catering order due to seeing the post. What’s the likely outcome?
Defamation likely. It’s a false factual allegation, published, and about the restaurant. Truth/justification fails as the fact is wrong. Fair comment fails as not recognizable comment based on true facts. Damages: general, plus special for the lost contract if proven; possible aggravated if malice.
Eli, an elderly man with poor eyesight, signs what he thinks is a birthday card for his grandson, but it's actually a car ownership transfer form. He didn’t read it or ask for help. Can Eli void the contract using non est factum?
No. Although the document was substantially different from what he thought, Eli was careless in signing without checking. The defence of non est factum fails if the signer is negligent..
Mark, a UPS driver, while delivering a package, argues with the customer about a past delivery issue, throws hot coffee at them, and smashes the mailbox. What legal issues arise for Mark and UPS in terms of liability?
Employer: likely vicarious liability as the assault is sufficiently connected to assigned duties (time/place/causal link to the delivery).
Employee: Yes, personally liable for the intentional tort and possible criminal charges.
A fitness company hires a trainer who signs a contract agreeing not to work for any competing gym within 10 km for 1 year after leaving. Two months after quitting, the trainer starts working at a competing gym 3 km away. The original company goes to court to stop the trainer from continuing this new job. What remedy is the company seeking, and would a court likely grant it? Explain
The company is seeking an injunction, specifically to stop the trainer from continuing to work for the competing gym. A court may grant it if the restriction (10 km for 1 year) is considered reasonable in scope, duration, and necessary to protect legitimate business interests; otherwise, it may refuse to enforce it.
What is a corporation and what can they do?
Separate legal entity with limited liability for its owners (shareholders). Can sue, may buy and sell, make contracts, own land.
After posting political views online, Priya is fired by MegaMart, a private retailer. She claims a breach of Charter s. 2(b) freedom of expression and wants a court order against MegaMart. Does the Charter apply?
No. The Charter binds government, not private companies.
John enters into a contract with Linda to build a custom kitchen for $50,000, with the work to be completed by June 1. By that date, most of the kitchen is installed and functional, but several key elements remain unfinished, including cabinet doors and final fittings. John then stops work and indicates he will not return. He demands full payment under the contract. Can Linda refuse to pay, or is she required to pay, subject to deductions? Explain
John’s failure to complete 100% of the contract obligations is a breach. Since John has substantially performed the contract (only a slight variance from what was agreed), Linda cannot withhold payment entirely. She must pay after deducting any loss caused by the incomplete performance.
Sofia has worked as a senior vice-president at a large bank for 6 years. She is 55 years old, highly specialized, and is suddenly fired without any warning after a minor disagreement with her manager. In her employment contract, the bank notes that she will only receive the minimum notice required by the Employment Standards Act, and in no circumstances will she be entitled to any additional notice, pay in lieu, severance pay, benefits continuation, or any other compensation, even if such entitlements are required by applicable employment standards legislation. Is Sofia more likely entitled to minimum notice or reasonable notice? Explain why.
Sofia is entitled to reasonable notice because the termination clause is unenforceable for attempting to contract out of ESA minimum protections, and courts will instead apply common law notice, which is often more generous.
Factors used: age, length of employment, job position, availability of similar employment, and bad faith of the employer.
Gerald, president of the SFU Contract Club, orders 300 limited hoodies from CozyThreads for a Dec 1 campus pop-up; the contract notes the Dec 1 sales event and delivery date. On Nov 30, CozyThreads emails: “We won’t be able to deliver.” Gerald covers at +22% per unit with rush freight from SwiftTees.
Identify the breach
Anticipatory repudiation. There is a duty to mitigate and find an alternative if available (which he did). Gerald can aim to recover the cover difference and added costs.
Chris and Mike enter into a partnership to open a coffee shop. Chris manages the day-to-day operations, while Mike invests capital but does not get involved in management. What type of partnership have they formed, and what are the liabilities for each?
Chris and Mike have formed a limited partnership. In this type of partnership, Chris is a general partner, responsible for managing the business and having unlimited liability for debts. Mike is a limited partner, liable only for his capital contribution and not involved in management, thus having limited liability.