Question
Issue 6: Bring Your Daughters and Sons to Work Day Litigation On Bring Your Daughters and Sons to Work Day at Winglo Corporation not only
Issue 6: Bring Your Daughters and Sons to Work Day Litigation On Bring Your Daughters and Sons to Work Day at Winglo Corporation not only did Sandy Gilhaus, a Winglo employee, bring her ten-year-old daughter Sarah to work, but BCE also installed Winglos new computer system on that day. After installation, when Sandy attempted to adjust the monitor connected to her new computer, she inadvertently knocked the monitor off the desk and onto the floor. The screen shattered with a piece of the glass striking Sarahs right big toe. To make a long story short, Sarahs toe needed four stitches to stop the bleeding and Sandy has blamed the installer of the system for placing the monitor in a dangerous position near the back edge of her desk. The damages to this point have been minimal as Sandy drove Sarah to their HMO and paid the $20 copay for an office visit. Yet, the Gilhaus family has sued BCE for the following: Likely future plastic surgery $ 5,000 Emotional distress to Sarah 500,000 Emotional distress to Sandy 1,200,000 Total $1,705,000 BCEs lawyers believe that this case, with the possible exception of the plastic surgery (for which the HMO wont pay), is frivolous. BCE has no insurance to cover this sort of liability. If this case goes to court, BCEs on staff attorneys will handle the case. To eliminate any possible bad press from this case, BCEs lawyers suggested settling for a nuisance value of $10,000. Sarahs family rejected this offer out of hand and asked for $200,000 to settle this out of court. BCE has decided, at least at this point, to refuse any further settlement offer. In their lawyers letter to you BCEs lawyers indicated that they believe that BCE has just and meritorious defense available to fight this case. Furthermore, BCEs legal counsel for the case indicated that while she agrees that this case is largely frivolous, litigation involving a young child is somewhat of a crap shoot and that making a definite prediction on the outcome of the case is impossible. In the end she believes the judgment will likely be $5,000 for the plastic surgery. What entry or disclosure, if any, is necessary in this circumstance?
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