please answer chapter 1 summary risk management B u s i n e s s F i n a n c e
Assignment 1: Please answer Chapter 1 Summary Risk Management and Sources of Law – Questions for Review – numbers 9,12, and 20.
For Assignment 2, please answer Chapter 6 – Review Questions 1,3,5, and 9. This assignment is due by midnight on Thursday, October 14, 2021.
Please read and be prepared to discuss question 8, in Chapter 6, that reads:
The plaintiff was a fastidiously clean man with a fastidiously clean house. For health reasons, his family consumed only purified, bottled water, which he purchased from the defendant company. While replacing an empty bottle, the plaintiff discovered that the new bottle contained the remains of a fly. Although the contaminated water was not consumed and did not cause anyone to suffer any physical injury, the plaintiff became obsessed with the event and its “revolting implications” for the health of his family. He constantly thought of flies crawling across garbage or animal feces and then swimming in his supposedly pure water. His personality changed dramatically. His hairstyling business lost clients because he was depressed and no longer had a sense of humour. He was unable to have sex with his wife. He could not properly shower because he could not bear the thought of water on his face. He was so sickened by the thought of contaminated water that he could no longer drink tea or coffee. He often felt like he was going to vomit. The defendant, however, proved that the plaintiff’s reaction to the tainted water was unusual and extreme. A normal person, in the same circumstances, might have been angered or mildly disgusted by the sight of the fly, but those feelings would have passed within a few hours and there would be no real lasting harm. Discuss the various elements of the plaintiff’s claim in negligence against the defendant. Is a court likely to impose liability? Explain your answer.
1) Jackson is the shipping clerk for Coldpoint Inc, an appliance manufacturer. For five years, Jackson has regularly taken orders from Knight’s TV and Appliances Inc for refrigerators. Jackson does not approve the orders himself. He submits them to the sales manager. Once the sales manager has approved the order, an invoice specifying the price and terms of payment is issued and signed by the sales manager. Each invoice is then sent to Knight’s. A contract is formed on the terms of the invoice. Jackson then arranges for Coldpoint to ship the refrigerators. In October, Knight’s gets an invoice in response to its order for two refrigerators that is signed by Jackson. Knight’s calls Jackson and asks about this change in procedure. Jackson says that he has been promoted and he can now approve and sign invoices. Knight’s accepts this explanation. In fact, Jackson has not been promoted and invoices still require approval by the sales manager. Can Knight’s rely on the invoices a forming a contract for the two refrigerators enforceable by Knight’s against Coldpoint?
2) Oneal wants to buy a computer software sales business being carried on by Softstuff Inc. The corporation has two classes of shares: common shares, which vote, and are entitled to receive dividends and the remaining property of the corporation on dissolution, and preferred shares, which do not vote, but are entitled to an annual dividend of 10 percent of the issue price and to receive the amount invested in return for the preferred shares. Dividends on the preferred shares must be paid before any dividends are paid on the common shares. Also, no payment on dissolution can be made to the holders of the common shares until full payment is made to the holders of preferred shares. Clay holds all of the 10 000 issued common shares. All of the 500 issued preferred shares are held by Clay’s mother. Can Oneal buy control of this business by buying all of the common shares of the corporation from Clay?
3) What does the fiduciary duty require of directors and officers?