Sentinel Safety Inc entered into a contract with Glengarry Shopping Mall to provide security. The parties' contract contained a clause that said: "Neither Sentinel nor its employees or agents shall be held liable in an amount that exceeds $10 000 for any loss or damage that may be caused in the performance of this agreement." In effect, Glengarry promised that it would not sue the named parties for more than $10 000. Elaine works as a security guard for Sentinel. As part of her job, she regularly patrols the Glengarry Shopping Mall. Which of the following statements is TRUE?
A) The facts involve the contractual concepts of a stranger, vicarious performance, and sufficient consideration.
B) Elaine could not be held liable for more than $10 000 if she caused property damage to Glengarry Shopping while shopping there on her day off.
C) The facts involve the contractual concepts of privity of contract and promissory estoppel and mutuality of consideration.
D) because she was not a party to the contract between Sentinel and Glengarry, Elaine would not be entitled to limited liability if she carelessly damaged part of the mall's property while on a regular patrol
E) If Elaine carelessly damaged part of the mall's property while on patrol, she would be protected by a statutory exception to the privity of contract doctrine.
Correct Answer:
Verified
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