LAW

Aspects of Contract and Negligence

Aspects of Contract and Negligence

Task 3

Negligence and Liabilities

Liabilities arising on breach of contract and negligence are different. The liability involves subject to the obligation to compensate the damage. When the harmful conduct comes from failure or defective performance of a contract, we speak of contractual liability in the case of independent conduct of contractual duties, but it violates the general duties of conduct (Beale, W.D. Bishop, M.P. Furmston, 2007). The rules relating to liability (tort law) do not have a preventive role-punitive, but only compensatory or damages. So, it should be addressed to the extent of the damage, not the seriousness of the conduct. And that is transmissible mortis cause, to the heirs of the person and is insurable.

Vicarious liability - a special kind of liability that comes from a third party in the event of non-performance or partial performance of the principal debtor's obligation. Vicarious liability - is the right debt collection from another responsible person if the first person cannot redeem it, and then there is a responsibility for the other (Neyers, 2005, pp. 1-5).

Most of the practical issues associated with the involvement of vicarious liability in the event of economic insolvency. According to Presidential Decree ? 508 of vicarious liability is involved not only the director and his deputies, the chief accountant, and business association members. In any company, those responsible for bringing it to a state called to vicarious liability by court decision (Neyers, 2005, pp. 1-5). Lister v Hesley Hall Ltd [2001] UKHL 22 is an example of the English tort law which created a new standard for finding out whether an employer is vicariously liable for their employees or not? Before this decision, it was found that the sexual harassment by any of employer was not seen as in the process of their employment which excluded the recovery from employer. The Court of Appeal was overruled by the majority of the House of Lords along with the earlier decisions maintaining that the “relative closeness” linking the nature of an employment of an individual and tort created liability (Rose, pp. 1-16).

The reason for bringing to vicarious liability can serve a tax audit. In order to attract vicarious liability for the debts of the organization, must be met three criteria:

an authority to a person to give guidance

committing or not committing official specific actions that put him on legislation

Cause-and-effect relationship between what a person did or did not, and bankruptcy, so that certain claims of creditors cannot be satisfied.

The contractual liability and the liability in tort differ in terms of obligations. The obligations agreed to in contracts are completely voluntary. None of the involved party is enforced to sign a contract against their will (Todea, et al. 2006, pp. 1-5). They are aware of the extent of their ability and also about the consequences they may face at the time of breach. On the other hand, tort liability is often imposed on organizations or people without taken them into ...