Tommy Tarleton has not always been the slick Harvard-trained lawyer that he is t
ID: 362682 • Letter: T
Question
Tommy Tarleton has not always been the slick Harvard-trained lawyer that he is today. When he first graduated from Tarleton State University, he went into the insurance business just like his father. Tommy’s insurance company specialized in selling fire insurance policies door-to-door. When Tommy first got started in the business, he was the only salesperson for the company. Tommy was very good at selling insurance, but he soon realized that he could make much more money if he hired other salespersons to work for him. So, with the desire to turn a bigger profit motivating him, Tommy started looking for help. Tommy places a job posting in the local newspaper that reads: “Wanted, independent contractor to sell insurance door-to-door. Easy quotas and great commissions. If interested, call 555-867- 5309.” An eager young man named Sudsy Monchik responds to Tommy’s offer. Tommy explains to Sudsy that since Sudsy is being hired as an independent contractor, he will not receive any company benefits, Tommy will not withhold any taxes from Sudsy’s commission checks, and Sudsy will be expected to provide his own vehicle. Tommy further explains to Sudsy that even though Sudsy is being treated as an independent contractor, Tommy still expects him to arrive at work by 8:00 a.m. and leave no earlier than 5:00 p.m., but Sudsy can take a one-hour lunch any time between 11:00 a.m. and 1:00 p.m. Also, Tommy tells Sudsy that as long as he is working for Tommy’s company, he can’t work for anyone else. Sudsy is more than happy to accept the offer. He has been unable to find a job since graduating from Texas A&M with a B.A. in Goat Herding (which, in retrospect, was probably a poor choice of degrees.) In fact, Sudsy is so happy about the arrangement Tommy described, that Sudsy told Tommy to put it in writing, and Sudsy would sign it. And that’s exactly what happened. Unfortunately for Sudsy, on the way to his first sales call, he neglects to pay attention to the road as he fidgets with the radio. Had Sudsy been paying attention, he would have seen the small child who ran out in front of his car. But he wasn’t, and he didn’t, and now Sudsy has seriously injured
21. If the child’s parents sue Tommy for the injuries caused by Sudsy, will Tommy be held liable?
a. No, because Sudsy is an independent contractor.
b. No, because Sudsy committed an intentional tort.
c. Yes, because Sudsy is an employee.
d. Yes, if Sudsy was acting within the scope of employment when the accident occurred. e. None of the above.
22. How would one best describe the relationship between Sudsy and Tommy?
a. Proprietor – Independent Contractor
b. Principal – Agent
c. Employer – Employee
d. Both (a) and (b) e. Both (b) and (c)
23. Assume for purposes of this question only that instead of being involved in an accident, Sudsy makes it safely to his first sales call, which happens to be a young couple who just purchased a home. Sudsy knows what it’s like to struggle, so he decides to sell the couple a fire policy at a steep discount. Sudsy doesn’t ask for Tommy’s permission to give the discount, but he figures the couple will be so taken with his kind gesture that they will convince all of their friends and neighbors to purchase insurance from him. When Tommy learns what Sudsy did, he calls up the young couple and explains to them that he cannot honor the contract Sudsy just made because Sudsy didn’t have permission to give such a steep discount. If the young couple decides to sue Tommy for breach of contract, who wins?
a. The young couple, because Sudsy is an independent contractor.
b. Tommy, because Sudsy is an independent contractor.
c. The young couple, because Sudsy is an employee.
d. Tommy, because Sudsy is an employee.
e. The young couple, because Sudsy is Tommy’s agent.
Explanation / Answer
21. if child parents would sue tommy for the injuries caused by Sudsy, Tommy will not be held liabel for this because Sudsy is an independent contractor., it is written in the agreement that sudsey is an idependent contractor and so tommy will not be held liable for any of his actions.
22.we would best describe the relationship betwwen sudsy and tommy is both a and b . as it describe both type of relationship between them that is proprieter and independent contractor and principal and agent.
23.In this case according to me Tommy would win the case because sudsy as an independent contractor and he has to sell the policy only on the prescribed terms and conditions.