Q1

Apparent Authority, Statement 1

Vicarious Liability, Statement 2

EC, Statement 3

Please help me!

2:13 AM Mon 19 Apr 25 (9 L100% & Question 1 Having graduated from university, Aaron and Lucy decided to set up a business dealing in computer products. The following conversation took place at a meeting which they had to discuss various issues relating to the proposed business. 15' set of statements :- Aaron: Lucy, your dad is super paranoid about our employees and how they can subject us to liability. I am clear that if we set very clear limits on the authority of our employees, they cannot subject us as principals to any liability if they were to exceed the limits of their authority. Our employees will only bind us if they act in accordance with the terms of the express authority we have given them. I hope he will be more at case after hearing this. 2\"d set of statements :- Lucy: You know, my dad is really overthinking. He is even concerned about whether our employee delivery drivers will be careful on the road while delivering our computer products. I told him that if they knock someone down, they will just be ned by the police! How on earth can we even be liable for their careless driving if they knock someone down? 3'd set of statements :- Aaron: Cool that you are able to assure him! I have no idea why he is so worried about our employees. I would be more concerned about any liability arising from our computer products. I have just instructed our lawyers to draft as wide a clause as possible to exclude our liability for any defects in the products. The wider the better! Since our customers do not enter into any written contracts with us, we can just quietly include the clause excluding liability, in the packaging material and documents which we will send to the customers when we deliver the products they have ordered and paid for. Smart of me, right? Required Comment on the accuracy of each of the above sets of statements, explaining the reasons for the same. (35 marks)