Assessment 2 – MGL1201
Integrated Business and Legal Perspectives – Semester 1, 2023
This Assignment has 5 questions. Word Length: 2000 words
Task Weight: 40%.
Date Due: Sunday 30 April 2023 (11.55 pm)
Task Requirements: The ‘Case Scenario’ relates to the Law of Negligence.
CASE STUDY
Sam and Kitu, work in the Tourist Hospitality Industry in Lara. Sam, owns and drives a Limousine
– which transports tourists from the Airport to the City. Kitu was recently promoted to the position
of General Manager of a chain of hotels. Sam wanted to reward Kitu with a gift- an ‘all-expenses’
paid dinner at the famous “Abram’s Seafood Restaurant” in Port Fairy, Victoria. Sam made the
booking, and they drove from Lara to Port Fairy.
On arrival at the reception desk of the restaurant, they failed to notice a large Sign that stated …
“Warning – As a result of our refrigerator breaking down two days ago, our Yabbies have not been
freshly frozen. We exclude all Liability whatsoever, for any injuries caused by our Yabbies meals.”
Abram, the owner and manager had not taken the Yabbies off the menu because he thought he
might suffer a huge financial loss. He was already in financial difficulties as a result of the recent
lockdowns and interruptions, due to the pandemic. Abram, gave them a table – with a view –
overlooking the bay. As he handed them the Menus, he made no comments about the Yabbies not
being properly refrigerated. Kitu ordered the “Yabbies” and Sam ordered the “Fish”. While eating
their meals, Kitu drank beer and Sam drank red wine. As Sam poured the last glass of wine from
the bottle, he suddenly saw in his glass, a dead decomposed Worm. He felt quite nauseous and
complained of stomach pain.
Likewise, after eating the Yabbies, Kitu also felt sick in his stomach, and was violently ill. As they
were leaving in a hurry to get to the local hospital, Abram demanded they pay for their meals and
beverages. Sam paid under protest. Abram, the restaurant owner blamed the Manufacturer of the
Red Wine “Aus Wines” for the Worm in the bottle. Sam and Kitu both ended up having medical
treatment for gastroenteritis, and skin rashes caused by the Yabbies and wine.
Sam suffered the following losses –
a. Loss of Profits ($9,000);
b. Medical Expenses ($5000);
c. Loss of an ‘Swiss Government Contract’ for the Sale of 2 tons of Australian Sheep Skins. Sam
had no previous exporting experience, but accepted the unusual Contract because his Limousine
Business was not going too well due to the Pandemic. As a result of the food poisoning and medical
treatment Sam was unable to deliver, and therefore lost the Government Contract.)
Kitu’s injuries resulted in the following lossesa. Medical Costs ($4,000)’
b. Loss of Earnings ($20,000)’;
c. Loss of his “Hotel Accommodation Deposit’ ($4,000). (Kitu had paid the Deposit on his
holiday Accommodation, at the Mayfair Hotel, in Darwin. As a result of the gastro and medical
treatment, he had to cancel his holiday. The Hotel Accommodation Deposit was non-refundable
Questions
Ensure to ‘Number’ and ‘Answer’ each Question separately.
1. Identify and discuss the 3 Elements of Negligence that Kitu (as Plaintiff) must prove.
Discuss the 2 Defenses that Abram (as the Defendant) may argue. (14 marks)
2. Explain and discuss whether Kitu is likely to recover damages for his losses- ‘Medical
Costs’, ‘Loss of Earnings’, and ‘Loss of Hotel Accommodation Deposit’. Give your reasons
with supporting case law precedents. (4 marks)
3. Identify and explain the 3 Elements of Negligence that Sam (as the Plaintiff) must prove.
Discuss the 2 Defenses that Abram (as the Defendant) may argue. (14 marks)
4. Discuss and explain whether Sam is likely to be able to recover damages for his LossesMedical Costs, Loss of Profits, and ‘Loss of the Swiss Government Contract’. Give your
reasons with supporting case law precedents. (4 marks)
5. Please answer ‘Yes’ or ‘No’ – to these two Questions. No explanation is required.
A. Have you included – ‘In-Text’ Referencing? (Yes or No?) – 2 marks
B. Have you included – ‘A Reference List? (Yes or No?) -2 marks (Total 4 marks)
REFERENCING REQUIREMENTS
Support your Answers with case – precedents, legal principles and legislation. You are required
to use at least ‘Six (6) References’, and a ‘Variety of References’
(Including sources such as Websites, Textbooks, Online Text-Books, Journal Articles, Case
Precedents. Marks will be deducted if this requirement is not met.)
REQUIREMENTS (ESSAY)
Your Essay should be in the following format:
· WORD DOCUMENT or WORD File;
· Typed on A4 paper using Arial 11 or 12 Point Font and 1.5 spacing;
· Sequential page numbering;
· Title page with Student Name/Student Number and Subject Code/Subject Name;
· Accurate spelling, grammar, punctuation, paragraph construction and proof-reading;
· Effective use of headings;
· Consistent and accurate acknowledgment of textbooks, legislation and case studies using
APA reference style;
Use of Resources
You are required to use a range of legal resources in addition to the textbooks including as
supporting evidence for the arguments, analysis and discussion of the given Assignment
questions.
CRITERIA USED TO GRADE THIS TASK
Please See the Rubric – which indicates the Separate Marking criteria and Allocation.