Chapter 5

Question 1

Ethics & The Workplace

Answer 1

difficulties by employees and employers to avoid unethical behaviour

-incrementalism
○ starts with something small, gets bigger over time
○ can lead to illegal acts, breach of contact, fraud

Question 2

Professional Liability

Answer 2

-those with specialized knowledge or skill will be held to higher standard than ordinary person

Question 3

Fiduciary Duty

Answer 3

• highest standard of care as well as separate legal duty
• applies to those in a special relationship of trust to another person
  ex. Doctor, Parent, trustee
• applies to some professionals who are acting in a “trust” relationship with their clients

Question 4

Negligent Misrepresentation

Answer 4

• careless untrue statement that is made

- if intentional then it is a tort of deceit (fraudulent misrepresentation)

Question 5

test for negligent misrepresentation

Answer 5

1) A statement is made
2) the statement is false
3) maker of the statement must owe the hearer of the statement a duty of care
4) the hearer of the statement must act on the statement
5) hearer of the statement must suffer a loss as a result of their acting on the statement