Tuesday, June 16, 2020

Dispute Resolution

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There are other ways of dispute resolution rather than using litigation. Alternative Dispute Resolution, if possible, can be very advantageous by saving time and expensive legal fees. Binding Arbitration involves a neutral third party, or a panel of experts who hear a case, and based on their best judgment make a decision. These decisions are legally binding. The only circumstance where a arbitrator's award can be set aside is either if the award is contrary to public opinion, if the arbitrator exceeds his authority, or if the arbitrator acts in bad faith. In this case the company's policy is to use Binding Arbitration for dispute resolution. In light of this, the Mail Clerk, Tom, sued the company in court. As stated in the Federal Arbitration Act (FAA) , "Arbitration agreements should be considered valid, unless other grounds exist at law or in equity to revoke the contract." Only in the case where an arbitration clause has been drafted and appears to be biased or one sided, will the entire agreement be deemed unconscionable. An example of a one sided arbitration clause is the Circuit City Case . The court refused to enforce the clause because it was described as being one sided and unfair " shock the conscience." Because there was no mention of our company having a one-sided company policy of arbitration, we continue with the assumption that this case should be fully arbitrable in court. For this reason we feel that the motion to compel arbitration will be granted.


b)


Defamation, "wrongfully hurting a persons good reputation" involves "published statements that tend to injure a person's reputation" These can be classified as libel, Slander, or Disparagement, the injuring of a business reputation


In order to prove that the company is responsible for libel, the plaintiff would have to prove that the defendant wrongfully hurt the plaintiffs' good reputation. The law says that people must refrain from making defamatory statements about others. To prove this true, the plaintiff must be able to prove that he suffered harms such as disgrace and or dishonor, which is sometimes very hard to prove. The only defenses for defamation are truth and privilege.


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In this case the defense for defamation is the truth. The content of this e-mail did hurt the reputation of Tom and his family, but the company had the privilege to investigate the theft. Because the theft did happen the company was not responsible for defamation. We see another example of this in the Randall's case. The plaintiff in this case felt that statements made by the employees were slanderous and might infer that she was dishonest. The plaintiff was in fact guilty of stealing a wreath and Randall's could not have gone about the investigation without communicating the facts regarding Johnson's actions, to each other. Because the defamatory statement turned out to be true, the company is not responsible for defamation.


To be responsible for the invasion of privacy the company must use someone's name, picture, or other likeness for commercial purposes without the consent of that person, intrude on individual's affairs, make information public in false light, and or disclose private information about an individual that might be objectionable. Because the desk is company property the company has a right to monitor it. The company did not violate the Invasion of privacy in any other form.


Intentional infliction of emotional distress, by definition, is "an intentional act that amounts to extreme and outrageous conduct resulting in severe emotional distress to another." This is the type of conduct "that exceeds the bounds of decency accepted by society and is therefore capable of serving as ground for lawsuit." In some states there must be a noticeable emotional change in order to recover, but in Texas, there must be a noticeable physical change. I am assuming that there was not any type of physical or emotional change.


These types of claims usually focus on the type of acts that fall under this tort. In our case Tom does not suffer a severe emotional change, but rather frustration and annoyance. "Indignity or annoyance alone is usually not sufficient to support a lawsuit based on intentional infliction of emotional distress." As described in the Randall's case, the defendants conduct has to be extreme and outrageous, the actions have to cause the plaintiff emotional distress, and the emotional distress suffered by the plaintiff has to be severe.


Using these as standards, severe emotional distress does not apply to our case, or to the Randall's case. The company acted responsibly and civilly with regards to this matter. The company emailed the memo to the CEO to make him aware which does not justify intentional or extreme and outrageous behavior.


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