Conforama is a well-established construction company in the local market.

Case study: Conforama took a new project, building a hospital, in a new geographical area. The company (Conforama) was designated as a consultant on the project with the main task of supervising the work of the contractor. To operate as a consultant, the senior engineers of Conforama needed to perform site inspection on a regular basis. Conforama management insisted on taking on the consultancy project without making sure that they have the capacity to fulfil their obligations. In fact, during that period, Conforama was overloaded and had eight other important projects under process and all Conforama senior engineers were already assigned tasks to their full capacity. Consequently, Conforama could not dispatch a team of senior engineers to proceed with the inspection visits on a regular basis. Moreover, the few inspection visits that have taken were made by fresh graduated engineers who were still under training. The hospital building was completed on time and the hospital started its activities. More than 100 patients were already admitted at the hospital by the second week of its inauguration. However, after a first heavy rain, and while one of the patientss visitors, Dan, was walking on the balcony of one of the rooms, the balcony collapsed. Dan was heavily injured. He required medical treatment for 4 weeks and had to pay $20,000 as medical fees. After initial investigations, it turned out that the contractor did not follow the standard procedure in building that HOSPITAL and that Conforama could have known that if more inspection visits were made or if the engineers inspecting had more experience. Conforama received another bad news. In fact, in addition to their construction work, Conforama manufactures prefabricated walls that are can be installed directly on the instruction sites. It turned out that the rain has also affected several newly built houses with these walls. The owner of these houses informed Conforama that the houses have flooded because of the walls and are asking Conforama to repair the damages caused by the flooding estimated at USD 300,000. After doing some investigations, Conforama replied back that it even if the flooding was because of the walls however it was proven that Conforama did not make any fault in manufacturing these walls and therefore they will not repair.

Required

Apply all the elements and conditions of type of tort identified to the specific case of Conforama and the owner of the houses who have used Conforama walls.