Reference no: EM131578323

The Dilemmas

In the four years since Devon started Yard Tech in Florida, he incorporated the business, purchased two trailers and two pickup trucks, rented a storage facility for his trucks and equipment, and hired 2 full time employees. Yard Tech services include mowing, edging, mulching, planting, pruning and a variety of landscaping services. Yard Tech also offers pool cleaning services for a few clients. As expected, Devon and Yard Tech experience several scenarios while conducting operations.

Manny, a Yard Tech employee was mowing a yard when the homeowner's dog escaped from his enclosure and bit Manny in the arm and ankle. The bite to the ankle severed a tendon that required extensive surgery and required months of physical therapy. Manny was unable to work for four months.  

Myron was allowed to drive one of the company trucks to and from work because he was responsible for the territory in his part of town. Taking the truck home allowed Myron to go directly to the jobs without wasting time and gas to go pick up the truck each day. When driving home from work, Myron was involved in a collision with Hanh Nguyen. At the time of the accident, Myron had taken a detour in order to stop at the grocery store to pick up a few items and go home. Nguyen's vehicle was totaled and she missed approximately two weeks of work recovering from her injuries. Nguyen sued Myron and Yard Tech. Myron suffered a broken leg and missed two months of work.

Although Devon considers himself an equal opportunity employer, he refuses to hire anyone who is not a heterosexual male or female based on his religious beliefs. Rey, a woman with 5 years of experience in landscaping applied for a job at Yard Tech. Devon hired Susan who only had two years of experience. Rey felt that she was discriminated against because she was a lesbian.

Because Devon often worked 12 to 14 hour days in the summer, he took his poodle, Brutus, to doggie daycare. Devon completed all of the forms and signs the authorizations without reading them. One day when Brutus was at daycare, he became covered in mud after running around with a golden retriever in the play yard. When the groomers gave Brutus a bath, he collapsed and died.

On December 31, 2013, Devon entered into a 5 year lease for a storage unit with Rudy. In September 2014, Devon discovered he needed more space and found a great deal on a storage facility with indoor and outdoor space for his vehicles and equipment. Instead of leasing, Devon purchased the entire storage facility with the intention of renting out some of the space to help pay for the purchase. Devon knew that Rudy would not let him out of the lease, so he assigned his rights under the lease to Girish on January 2, 2015. Girish used the storage unit and made payments for five months. Without Rudy's or Devon's knowledge, Girish vacated the unit end of July without paying for June or July and still owing the remainder of the rent for the lease period.

When Devon purchased the storage facility, he obtained a mortgage from Regions Bank.

• Discuss the potential liability for Yard Tech and the homeowner for the dog bite. Explain the type of insurance, if any, that Devon should maintain for Yard Tech. Be sure to establish a proper legal foundation for your responses.
• Discuss the arguments each party (Myron, Yard Tech and Nguyen) will make related to liability in the accident. Decide which party or parties should be liable and provide support for your choice.
• Determine whether Rey will succeed if she files a discrimination lawsuit against Yard Tech. Discuss state and federal laws that support your answer.
• Using principles of bailment, determine whether Devon could recover damages from the doggie daycare for Brutus' death.
• Which party is liable for the remaining rental payments? If the party liable for the debt does not pay and Rudy obtains a judgment ordering payment from that party, what are Rudy's options for seeking payment?
• Explain Devon's rights in the property, including responsibilities for taxes, payments and future sale of the property. What are Devon's rights if he defaults on the mortgage and the bank forecloses on the property?
• Identify and explain any ethical concerns that Devon may encounter
• Conclude your paper by providing suggestions for Devon to help prevent future occurrences of these types of legal and ethical problems.