TORTS LAW

Torts law

Torts law

Introduction

Torts law is particularly relevant to businesses as they need to be aware of the extent of their potential liabilities to workers, visitors to business premises, other businesses and to the general public. This extends to ensuring safe systems of work exist and appropri- ate insurance is maintained. Further, businesses need to be in a position where they can ensure they can exclude liability for advice provided in the course of their business. The chapters in this part of the book demonstrate the potentially significant sums involved in tort actions, and the potential costs involved in not taking adequate steps in their prevention.

Discussion

Tortious liability differs from contractual liability in that the obligations undertaken in con- tracts are entirely voluntary. No one can be forced into a contract against his/her will and consequently the parties have the ability to be aware of the extent of their liability, and the possible consequences in the event of his/her breach. In contrast to this, tortious liability is imposed on persons and organizations (sometimes) without their knowledge or the aware- ness of the potential extent of this liability. e law sometimes requires compulsory insur- ance to protect against claims of liability in negligence or other torts,19 but it may be prudent for businesses to carry insurance for their property and possessions in the event of claims against them. Do remember that there may be several claims involving the same scenario, such as a breach of contract claim and a negligence action (for example, in Grant v Australian Knitting Mills);20 and the scenario may involve a criminal action and a tort claim (such as an employee in a factory being injured through the use of dangerous and faulty equipment). Where the claimant has suffered a loss and injury, as in Grant, it is for the claimant to elect to pursue each element of his/her claim if he/she chooses.

The law requires that those who are deemed to owe others a duty of care act respon- sibly and take necessary precautions to avoid injury and loss to others. The remedy primarily provided by the law is a damages payment to put the injured party back in the position they were before the tort had taken place-this can prove very expensive for businesses. Fundamentally to those in business, knowledge of the law and of responsibilities enables positive steps to be made to minimize the risk of negligence claims. When reading through the cases and judgments that follow, consider whether you would have acted as the business did, and whether you would have considered that liability would be imposed by the courts.

Tort law is the name given to a body of law that addresses, and provides remedies for, civil wrongs not arising out of contractual obligations. A person who suffers legal damages may be able to use tort law to receive compensation from someone who is legally responsible, or "liable," for those injuries. Generally speaking, tort law defines what constitutes a legal injury and ...