Suppose that Loretta opens a candy shop on Main Street. Wary about her potential liability serving food

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Suppose that Loretta opens a candy shop on Main Street. Wary about her potential liability serving food to the public, she incorporates her business. However, she fails to follow the manufacturer’s suggestions and refrigerate her fudge. As a result, every mother in town falls ill after eating gifts of fudge on Mother’s Day. The business has a bank account with a few thousand dollars. Loretta has $100,000 in savings in a mutual fund account. Will the injured mothers have a right to the mutual funds, or only the bank account?

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Introduction To Business Law

ISBN: 9780324826999

3rd Edition

Authors: Jeff Rey F. Beatty, Susan S. Samuelson

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