Tort Claims and Dispute Resolution

Scenario Choice #1
Brenda’s Bakery is one of the most popular spots in town. Billy owns a bakery across the street, and he’s jealous of Brenda’s success. To help his business, Billy begins telling his customers that Brenda is dishonest and unethical. Billy even puts a sign in his front window warning potential customers not to shop at Brenda’s Bakery because of her deceitful and unethical practices.
Brenda is upset when she finds out what Billy has been doing. Brenda has always been honest and ethical with her customers, and now her business is suffering because of Billy’s lies. Brenda decides that something must be done about this situation.
Answer both of these questions in your paper:
• Discuss the possible tort claim Brenda might have against Billy. Be sure to include the elements of the tort and relate those elements to the scenario.
• If Brenda decides to pursue a claim against Billy, should she consider a lawsuit, mediation, or arbitration? Be sure to explain why your choice is the best option.
Scenario Choice #2
Carter is in a hurry and stops by a coffee shop for a drink. The store is out of his favorite brand of coffee, so Carter decides to go elsewhere. Suddenly, an employee stops Carter and accuses him of stealing a bag of coffee beans. The employee escorts Carter to a small room in the back of the store and tells Carter that if he attempts to leave, he will be arrested and sent to jail. Carter waits for over an hour before the manager tells him that he is free to go.
Answer both of these questions in your paper:
• Discuss the possible tort claim Carter might have against the coffee shop. Be sure to include the elements of the tort and relate those elements to the scenario.
• If Carter decides to pursue a claim against the coffee shop, should he consider a lawsuit, mediation, or arbitration? Be sure to explain why your choice is the best option.
Scenario Choice #3
Mandy is Toby’s boss. Every day, Mandy flirts with and harasses Toby in front of their co-workers. She makes inappropriate comments to Toby and about him behind his back. Toby is so embarrassed by Mandy’s actions that he has developed post-traumatic stress disorder (PTSD).
Answer both of these questions in your paper:
• Discuss the possible tort claim Toby might have against Mandy. Be sure to include the elements of the tort and relate those elements to the scenario.
• If Toby decides to pursue a claim against Mandy, should he consider a lawsuit, mediation, or arbitration?

Full Answer Section

      Elements of Defamation and How They Apply: To win a defamation lawsuit, Brenda would need to prove the following elements:
  1. False Statement: Billy's claim that Brenda is dishonest and unethical must be demonstrably false.
  2. Publication: Billy's sign communicates the defamatory statement to others.
  3. Harm to Reputation: Brenda's business is suffering because of the false claims, indicating damage to her reputation.
  4. Fault (depending on jurisdiction): Some jurisdictions require proof that Billy acted with knowledge of falsity or reckless disregard for the truth.
Lawsuit vs. Mediation/Arbitration Brenda should consider mediation or arbitration before pursuing a lawsuit. Here's why:
  • Cost: Lawsuits are expensive, with legal fees and court costs. Mediation and arbitration are typically less expensive.
  • Time: Lawsuits can take months or even years to resolve. Mediation and arbitration are often quicker.
  • Confidentiality: Mediation and arbitration are usually confidential, while lawsuits become part of the public record.
  • Control: In mediation, both parties work with a neutral mediator to reach a solution. In arbitration, a neutral arbitrator makes a binding decision. A lawsuit offers less control over the outcome.
Since Billy's actions seem isolated and not a widespread campaign, and considering the potential damage to Brenda's reputation is ongoing, mediation might be the best option. A mediator can help facilitate a conversation where Billy understands the impact of his actions and reach a solution that includes a retraction of the claims and potentially compensation for Brenda's losses. If mediation fails or Billy is unwilling to cooperate, then arbitration could be explored. Arbitration provides a faster resolution with a binding decision, but it also removes some control Brenda has over the outcome compared to mediation.  

Sample Answer

     

Scenario Choice #1: Brenda's Bakery vs. Billy's Bakery

Possible Tort Claim: Defamation

Brenda has a potential tort claim against Billy for defamation. Defamation is a civil wrong that injures someone's reputation. There are two main types of defamation:

  • Libel: Defamation in writing (including signs)
  • Slander: Defamation spoken orally

In this scenario, Billy's actions likely constitute libel because he's putting up a sign with false information about Brenda's business practices.