CISR - Commercial Casualty I Questions with Complete Solutions 2024/2025 Give the 2 reasons why a named Insured adds another person or organization as an addt'l Insd - Correct Answer Close or business (contractual) relationship What are the three categories of legal liability? - Correct Answer Tort, Statutory, & Contractual Tort Liability - Correct Answer a wrongful action or omission that harms a person or business, prompting the injured party to seek compensation in civil court. As a result, the guilty person (the defendant or tortfeasor) bears legal liability; Differs from crime in that it is a violation of a common or civil law Statutory Liability - Correct Answer liability arising out of specific rules or laws (statutes) enacted by a legislative body providing direction or prohibition; overrides common law; Ex/ Dram/Liquor, Americans w Disabilities Act, WC, etc.Contractual Liability - Correct Answer an agreement between two or more parties, which creates an obligation to do or not to do a particular thing; Ex/ Lessor-Lessee, Owner-Contractor, etc.Warranty - Correct Answer assurance made by seller of goods, either express or implied, that references quality/fitness of goods/services & is relied upon by buyer of goods/services What are the 4 types of Tort Liability? - Correct Answer Negligence, Intentional, Strict, & Absolute Negligence Tort Liability - Correct Answer the failure to act as a reasonable person would under the same or similar circumstances Intentional Torts - Correct Answer An intentional or voluntary act where the person or organization committing the act is expressly or implicitly deemed to have possessed intent or purpose to injure Example of an Intentional Tort - Correct Answer Libel, wrongful entry/eviction, assault/battery, false arrest, etc. 1 / 2
Strict Liability Tort - Correct Answer concept applied by the courts in PRODUCT liability suits in which a manufacturer, distributor or seller is liable for any and all defective or hazardous products that unduly threaten a consumer's health and safety; Proximate cause NOT applied & all that has to be proven is product that caused damage was defective Absolute Liability - Correct Answer liability without regard to fault; All that has to be proved is that an injury or damage occurs because of the activities; ACCIDENTAL, couldn't be helped
- Requirements of a Negligent Tort - Correct Answer Must be duty owed, breach of that duty, actual
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injury/loss must occur, & there has to be close cause & effect (proximate cause) relationship btwn breach of duty & injury/loss Direct Liability - Correct Answer results from the CONDUCT of a person or organization that is responsible for injury or property damage to another Example of Direct Liability - Correct Answer Deem's Market, Inc. fails to clean up a food spill in one of its grocery aisles, and a patron slips on the food, falls and breaks several bones. The claimant sues Deem's Market, Inc. because it directly caused the injury Vicarious Liability - Correct Answer liability of one party based upon the liability of another. It is said that liability is imputed (TRANSFERRED from one party to the other) Example of Vicarious Liability - Correct Answer While delivering groceries, an employee of Deem's Market, Inc. causes an auto accident in which three people are injured. The injured parties bring a claim against the employee who directly caused the accident, but they also bring a claim against Deem's Market, Inc., because Deem's Market, Inc. can be held vicariously liable for the actions of its employees done within the scope of their employment; Employer/Employee, Principal/Agent, Owner/Manager, etc.What are the types of damages that may be awarded in a civil court case? - Correct Answer Compensatory & Punitive/Exemplary Damages Compensatory - Correct Answer sums of money that will, as far as possible, compensate for the loss