Question 1

In solicitor-client privilege,the lawyer normally has no legal obligation to reveal any confidential information to legal authorities or to anyone,unless:

Accepted Answer

The exception to solicitor-client privilege regarding the revelation of confidential information is when the client provides authorization for the lawyer to do so. This allows the lawyer to share specific information with third parties as per the client's instructions.

Question 2

The case of Hercules Management Ltd.v.Ernst and Young (1997)makes the following contribution to the law regarding professional liability of accountants at Common Law:

Accepted Answer

The case established that accountants do not owe a duty of care to shareholders for their investment decisions, limiting the scope of liability to prevent indeterminate liability.

Question 3

A duty to place a client's interest above the professional's own interests is known as:

Accepted Answer

Fiduciary duty is the legal obligation of a professional to act in the best interests of their client, even if it means foregoing their own interests. This duty is particularly important in fields such as law, finance, and medicine, where clients often rely heavily on the expertise and advice of professionals. The other choices, while related to professional ethics and responsibilities, do not specifically embody the idea of prioritizing the client's interests over one's own.

Question 4

Leonard was an entrepreneur who owned a restaurant business called,Blue Moon Diner Ltd.The business was located in an old house owned by Leonard.Lauren,the accountant,was preparing financial statements for the purpose of selling Blue Moon Diner Ltd.She assumed that the house was an asset of Blue Moon Diner Ltd.and did not review the land title or check with Leonard.Alicia purchased the business for $500 000,believing that the house was an asset worth $450 000 and the business was worth $50 000.Can she sue Lauren?

Accepted Answer

Lauren had a duty of care to Alicia as she was preparing financial statements for the purpose of selling the business, and Alicia relied on these statements while making the purchase. Lauren also breached the standard of care for an accountant by assuming that the house was an asset of the business without verifying its ownership. Therefore, Alicia can sue Lauren for damages.

Question 5

One of the obligations upon professionals acting in fields that can create tort liability is the obligation to _______________________ from the party who will be affected by the professional service.

Accepted Answer

The answer of One of the obligations upon professionals acting...

Question 6

If an engineer designs a bridge without consideration for the weight of traffic that would travel over the bridge,and the bridge collapses,the engineer may be

Accepted Answer

The engineer had a professional duty to design a bridge that can support the weight of traffic that would travel over it. Negligence in the performance of this professional duty can lead to liability for any loss or injury that results. Therefore, if the bridge collapses due to a lack of consideration for traffic weight, the engineer may be liable for the resulting loss or injury.

Question 7

For many professions,the standard of care extends beyond the single performance of the service,and the professional may also be required to

Accepted Answer

The answer of For many professions,the standard of care extends...

Question 8

The professional under a contract implies promises to perform the services required in accordance with the standard for his or her profession,and a failure to do so would constitute ______________________.

Accepted Answer

A breach of contract occurs when one party fails to fulfill their obligations under a mutually agreed-upon contract. In this case, if the professional does not perform the required services to the standard for their profession as specified in the contract, it would constitute a breach of contract. A lack of fiduciary duty, professional negligence, a lack of informed consent, and a breach of solicitor-client privilege may also be relevant considerations in certain contractual situations, but they are not the primary issue described in this scenario.

Question 9

"Competent lawyer" means a lawyer who has and applies relevant skills,attributes,and values in a manner appropriate to each matter undertaken on behalf of a client.

Accepted Answer

This is the definition of a competent lawyer according to the American Bar Association Model Rules of Professional Conduct.

Question 10

The normal approach for the engagement of the services of an architect is through a contract.Under the terms of the contract,the architect is usually expected to:

Accepted Answer

The answer of The normal approach for the engagement of...

Question 11

A husband and wife,Michelle and William,contacted an insurance agent for coverage for the wife's business,financed by the husband.The agent negligently arranged for insurance in William's name only.When Michelle suffered a loss she thought would be covered by the policy,she discovered that her business was not covered by the insurance.In the court action that followed:

Accepted Answer

The agent had a duty to arrange proper coverage for Michelle's business, and he negligently failed to include her name on the policy. Therefore, he would be held liable for any losses suffered by Michelle's business as a result of his negligence.

Question 12

Breach of contract cases usually are a result of careless or negligent performance of the professional service.

Accepted Answer

Breach of contract cases often occur when a professional service provider fails to deliver on the terms of their agreement with the client. This can be due to carelessness, negligence, or a failure to meet industry standards.

Question 13

A professional is a person who possesses special knowledge or exercises special skills not normally possessed by most individuals.

Accepted Answer

This definition of a professional is generally accepted and recognized in various fields and industries.

Question 14

Lisa,a three-year-old girl,was having her tonsils removed.Towards the end of the surgery,Dr.Talker answered her cell phone and failed to thoroughly check for sponges in Lisa's throat.Lisa choked to death.Can Lisa's family successfully sue Dr.Talker?

Accepted Answer

All of the responses are correct. Dr. Talker's negligence in failing to thoroughly check for sponges in Lisa's throat caused her injury and ultimately led to her death. As a surgeon, Dr. Talker had a duty of care to Lisa and failed to meet the standard of care expected of a medical professional. The damages resulting from Lisa's death would give her family grounds to successfully sue Dr. Talker for medical malpractice.

Question 15

Manno had injured his knee and required laparoscopic knee surgery.During his appointment with the surgeon,Dr.Cutter,Manno was advised of the risks associated with the surgery including death and limited mobility in his knee.Dr.Cutter did not discuss scarring if traditional surgery was required.Manno signed the consent form.In the operating room,Dr.Cutter concluded that laparoscopic surgery would not repair Manno's knee and he had to make three large incisions in a traditional method.Manno's knee was repaired but he had three large,unattractive scars.Manno was a male model.Can Manno successfully sue Dr.Cutter?

Accepted Answer

Dr. Cutter did not discuss scarring as a risk associated with traditional surgery with Manno, which is a required component of informed consent. As a result, Manno may have a valid claim for lack of informed consent, even though the surgery was successful in repairing his knee. The fact that Manno was a male model and had a career that depended on his appearance is irrelevant to the issue of informed consent.

Question 16

Rose,a financial advisor,recommended that a client,Maureen,purchase shares in Mad Money Mutual Fund.Relying on Rose's recommendation the client purchased 100 units.The entire stock market collapsed and the value of Mad Money Mutual Fund was reduced significantly.Maureen was surprised to learn that Rose earned a commission on each unit sold to her clients.Is Rose liable to Maureen?

Accepted Answer

Rose had a fiduciary duty to disclose her commission to Maureen as it was a potential conflict of interest. Therefore, Rose breached her duty by not disclosing this information and could be held liable for any losses incurred by Maureen as a result of her recommendation.

Question 17

Professional associations are not given the authority to limit the use of the professional designation to individuals who are members in good standing in the association,or to take action under the legislation to prevent anyone not a member in good standing from holding him or herself out to the pubic as a particular professional,or offering the professional services to the public.

Accepted Answer

Professional associations do have the authority to limit the use of the professional designation to members in good standing and take action to prevent non-members from holding themselves out as a particular professional or offering professional services to the public. This authority is granted to them by legislation and is typically enforced through regulatory bodies.

Question 18

Most professionals are members of professional associations that are responsible for the establishment of

Accepted Answer

Professional associations usually have a threefold purpose of providing training and education, setting standards of performance for their members, and ensuring that these standards are upheld through an accredited or licensing process. Therefore, the best choice is E, which includes all of the above options.

Question 19

It is suggested,but not legally required,that a lawyer recognize the limitations on his or her ability to handle a legal matter,and to take such steps as may be required to ensure that the client has appropriate advice,such as directing the client,if necessary,to another lawyer with greater expertise in the particular legal manner.

Accepted Answer

The answer of It is suggested,but not legally required,that a...

Question 20

A successful negligence suit against a member of a profession must measure the ________________ of the particular practitioner with that prescribed by the profession in general,and must show in the evidence that the practitioner failed to meet that standard.

Accepted Answer

The answer of A successful negligence suit against a member...

Quiz 6: Special Tort Liabilities of Business Professionals