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." 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) 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.
B) If Elaine negligently damaged Glengarry's property while she was working at the mall, she would be protected by the limitation clause, but only if she agreed to provide consideration to Glengarry.
C) 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.
D) Because of the decision in London Drugs Ltd v Kuhne & Nagel International Ltd, Elaine may be protected by the contractual clause even though she is not privy to that agreement.
E) The facts involve the contractual concepts of privity of contract, promissory estoppel, and mutuality of consideration.
Correct Answer:
Verified
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