Question
PLEASE I NEED A GOOD ANSWER FOR EACH ONE QUESTIONS. 18-2. Conflicts of Interest. Oxy Corp. is negotiating with Wick Construction Co. for the renovation
PLEASE I NEED A GOOD ANSWER FOR EACH ONE QUESTIONS.
18-2. Conflicts of Interest.
Oxy Corp. is negotiating with Wick Construction Co. for the renovation of Oxy's corporate headquarters. Wick, the owner of Wick Construction Co., is also one of the five members of Oxy's board of directors. The contract terms are standard for this type of contract. Wick has previously informed two of the other directors of his interest in the construction company. Oxy's board approves the contract by a three-to-two vote, with Wick voting with the majority. Discuss whether this contract is binding on the corporation. (See Corporate Directors and Officers.)
19-2. Duty of Loyalty.
Peter hires Alice as an agent to sell a piece of property he owns. The price is to be at least $30,000. Alice discovers that the fair market value of Peter's property is actually at least $45,000 and could be higher because a shopping mall is going to be built nearby. Alice forms a real estate partnership with her cousin Carl. Then she prepares for Peter's signature a contract for the sale of the property to Carl for $32,000. Peter signs the contract. Just before closing and passage of title, Peter learns about the shopping mall and the increased fair market value of his property. Peter refuses to deed the property to Carl. Carl claims that Alice, as Peter's agent, solicited a price above that agreed on when the agency was created and that the contract is therefore binding and enforceable. Discuss fully whether Peter is bound to this contract. (See Duties, Rights, and Remedies of Agents and Principals.).
19-3. Employee versus Independent Contractor.
Stephen Hemmerling was a driver for the Happy Cab Company. Hemmerling paid certain fixed expenses and followed various rules relating to the use of the cab, the hours that could be worked, and the solicitation of fares, among other things. Rates were set by the state. Happy Cab did not withhold taxes from Hemmerling's pay. While driving the cab, Hemmerling was injured in an accident and filed a claim for workers' compensation benefits in a state court. Such benefits are not available to independent contractors. On what basis might the court hold that Hemmerling was an employee? Explain. (See Agency Law.)
19-8. Agency Relationships.
Jane Westmas was killed when a tree branch cut by Creekside Tree Service, Inc., fell on her. At the time, Jane was walking on a public path through the private property of Conference Point Center on the shore of Lake Geneva in Wisconsin. Conference Point had contracted with Creekside to trim and remove trees from its property, but the owner had no control of the details of Creekside's work. Jane's husband, John, and her son, Jason, filed a suit in a Wisconsin state court against Creekside, alleging that the service's negligence caused her death. Creekside contended that it was immune from the suit under a state statute providing that "no . . . agent of an owner is liable for the death of . . . a person engaging in a recreational activity on the owner's property." Could Creekside be held liable for Jane's death? Why or why not? [Westmas v. Creekside Tree Service, Inc., 2018 WI 12, 379 Wis.2d 471, 907 N.W.2d 68 (2018)] (See Agency Law.)
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