The Legal Environment of Business: Text and Cases (MindTap Course List)
The Legal Environment of Business: Text and Cases (MindTap Course List)
10th Edition
ISBN: 9781305967304
Author: Frank B. Cross, Roger LeRoy Miller
Publisher: Cengage Learning
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Chapter 10, Problem 4RE
Summary Introduction

Case summary: The person E worked for P&A company as a roadmaster for a railroad in Alaska. He was responsible for safe and effectual maintenance of tracks, marine facilities, and structures. A rock quarry project punctured a high-pressure pipeline running beneath. The person E was held responsible for carelessness and toxicities in water.

To find:Non-awareness of the law as a defensive measure.

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Is the job exempt or non-exempt under the (FLSA)? Why or why not?Case 1.Harry Phipps, Senior Professional Sales RepresentativeHarry Phipps was employed by K & K Pharmaceutical Company as a senior professional salesrepresentative. Phipps’ position required him to travel across doctors’ offices and hospitals where hepromoted the benefit of K & K’s drug, Provita, to the prescribing doctors. K & K used this method in thehope that when doctors realized the benefit of Provita, they would prescribe the drug for their patients.By law, Phipps could not sell the drug directly to doctors. The company provided Phipps with a list oftarget doctors, and he was expected to complete ten visits per day, and each doctor had to be visited atleast once a quarter. K & K left the itinerary and method of achieving the targets up to Phipps. However,they did provide Phipps with a budget for the visits. He was also given pre-approved visual aids and hadreceived training in basic “marketing”…
Tube Art was involved in moving a reader board sign to a new location. Tube Art’s service manager and another employee went to the proposed site and took photographs and measurements. Later, a Tube Art employee laid out the exact size and location for the excavation by marking a four-by-four-foot-square on the asphalt surface with yellow paint. The dimensions of the hole, including its depth of six feet, were indicated with spray paint inside the square. After the layout was painted on the asphalt, Tube Art engaged a backhoe operator, Richard F. Redford, to dig the hole. Redford began digging in the early evening hours at the location designated by Tube Art. At approximately 9:30 P.M., the bucket of Redford’s backhoe struck a small natural gas pipeline. After examining the pipe and finding no indication of a break or leak, he concluded that the line was not in use and left the site. Shortly before 2:00 A.M. on the following day, an explosion and fire occurred in the building serviced…
Linh owns and runs electronics hire business, Electric Town. When Wahid hires a projector from Electric Town, he is asked to sign a document containing the details of the projector and the duration for which he will be hiring it. At the bottom of the page there is a note in small print: “If any damage is caused to the projector including the casing being hired, the customer is liable to pay a repair fee”. Linh tries to inform Wahid about the repair fee, but Wahid is busy checking out the projector. Wahid reads the details at the top of the document but doesn’t bother to read the smaller print at the bottom. He signs it and takes the projector home. While using the projector, Wahid accidentally scratches its casing. While returning the projector to Electric Town the following week, he refuses to pay the repair fee. 1. Is Wahid bound to pay the repair fee to Linh? ISSUE:   RULE:   APPLICATION:   CONCLUSION:
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