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B. Happy Days is liable because Tina was dealing not with the public but only with children.C.Happy Days is liable for negligent hiring.D. Happy Days is liable for negligent retention.When hiring someone to deal with the public, the employer must make a reasonable investigation into the person's background. Simply asking the applicant is insufficient.AACSB: Reflective ThinkingAccessibility: Keyboard NavigationBlooms: UnderstandDifficulty: 2 MediumLearning Objective: 11-05 Apply the doctrine of respondeat superior and identify its impact and limits.Melvin - Chapter 11 #51Topic: Negligent Hiring Doctrine
52. Angelina hires Brad to drive a truck to a depot 200 miles away. She specifies the route that he is to take and tells him to be sure to arrive by 5 p.m. On the way, Brad finds himself nodding off due to hunger. He checks the time and finds that he has plenty of time to make the 5 p.m. deadline, so he decides to stop at a diner that he is familiar with. The diner is three-quarters of a mile off the route that Angelina had specified. Brad does not call Angelina to ask for permission. On the way to the diner, Brad runs a red light and has a collision with Billy Bob. Billy Bob sues Angelina. A. Angelina wins because Brad was on a detour, freeing her from liability.B. Angelina wins because Brad was on a frolic, freeing her from liability.C.Angelina loses because Brad was on a detour, so she is liable.D. Angelina loses because Brad was on a frolic, so she is liable.Since Brad is required to act prudently, stopping for food when tired is appropriate. A ¾-mile deviation from the route is not far enough to make this detour a frolic.AACSB: Reflective ThinkingAccessibility: Keyboard NavigationBlooms: AnalyzeBlooms: ApplyDifficulty: 3 HardLearning Objective: 11-05 Apply the doctrine of respondeat superior and identify its impact and limits.Melvin - Chapter 11 #52Topic: Tort Liability to Third Parties53. A gratuitous agent: AACSB: AnalyticAccessibility: Keyboard NavigationBlooms: UnderstandDifficulty: 2 MediumLearning Objective: 11-06 Define the duties that collectively comprise a fiduciary obligation owed by the agent to the principal.Melvin - Chapter 11 #53Topic: Agents Duties to the Principal