Legal and Ethical Scenarios

Read the scenarios and the questions that follow. Answer Scenarios.

You must also provide an answer for the recommendations section. Identify and analyze the legal issue(s). Apply legal concepts and make potential arguments as directed using laws, cases, examples, and/or other relevant materials.

Scenario 4 – Insurance and Agency

Dylan is a delivery driver for [Restaurant Name]. While delivering orders within the scope of employment, Dylan rear-ended a car driven by Vickie Talley. Dylan was insured by State Farm and his policy contained the following information.

Exclusions—What is not Covered

State Farm will not pay for any damages an insured person is legally obligated to pay because of:

Bodily injury or property damage arising out of the use of your insured auto while used to carry persons or property for a charge, or any auto you are driving while available for hire by the public.

Analyze the liability on the part of Dylan, Vickie, State Farm and [Restaurant Name]. Be sure to cover issues related to both insurance and agency.

Scenario 5 – Consumer Protection

[Restaurant Name] does not publish the prices of drinks on the menus. Nik Carlson, a customer of the restaurant filed a lawsuit claiming that failure to provide drink prices on the menu constitutes an unfair business practice because customers must make quick decisions about ordering drinks after asking about the price. Another plaintiff, Joe Swanson, claimed that he was not provided with a cost for his drink until after he ordered it, which constitutes consumer fraud.

Analyze the applicability of state and/or federal consumer protection laws that Carlson and Swanson can assert against [Restaurant Name]. Select which party should win and support your answer.