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The Sisters of Charity of the Incarnate Word, d.b.a. St. Elizabeth Hospital of Beaumont, operates a health and wellness center. Phil Meaux was a paying member of the health center. The rules of the center, which Meaux has been given, state, "The Health & Wellness Center is not responsible for lost or stolen items." A sign stating, "We cannot assure the safety of your valuables" was posted at the check-in desk. The wellness center furnished a lock and key to each member but has a master ket to open lockers in case a member forgot or lost his or her key.

One day, Meaux went to the wellness center and placed his clothes, an expensive Rolex watch, and a money clip with $400 cash in the locker assigned him. Upon returning from swimming, Meaux discovered that his locker had been pried open, and his watch and money had been stolen by some unknown person. Meaux sued the Sisters Charity, alleging that a bailment has been created between him and the Sisters and that the Sisters, as bailee, were negligent and therefore liable to him for the value of his stolen property. The trial court held in favor of Meaux and awarded him $19,500 as the value of the stolen property, plus interest and attorney's fees. The Sisters Charity appealed.

Was a bailment created between Meaux and the Sisters of Charity?

Who Wins? Why?

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M970661

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