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Tort and Liability

In: Novels

Submitted By mcnjc927
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Environmental Regulation is perhaps the most stringent area of government’s regulation in business. The government imposes great technology investment demands on the industry for regulatory compliance. One single act of irresponsibility can cost businesses greatly or be forced to close (Business Regulation Simulation, 2009). It is important to identify, manage, and correct torts and regulatory risks for Alumina, Inc. so legal issues do not arise in the future. Alumina, Inc. is a $4 billion dollar USA-based industry leader in Aluminum making. They operated in eight countries around the world. The US accounts for seventy percent of its sales. Their business interests are in: automotive components, manufacturer of packaging materials, and aluminum smelting. Alumina falls under jurisdiction of Region 6 of the EPA. A tort is the French word for a “wrong.” The law provides remedies to persons and businesses that are injured by the tortuous actions of others (Cheesman, 2010). Kelly Bates claims Alumina did not comply with the Environmental Protection Agency (EPA) legal limit of producing PHA. The drinking water in Lake Dira was found to be unsafe, which caused leukemia in her 10 year old daughter. The plaintiff has filed a million dollar personal injury lawsuit against Alumina to recover punitive damages (Business Regulation Simulation, 2009).

Two of the possible tort violations in this simulation are negligence and liability. The potential for negligence in this case must be proven to contain breach of duty and duty of care. The liability tort must prove failure to protect and failure to warn. Alumina, Inc. has a clean record in compliance issues except the violation that took place five years ago resulting in punitive damages. Because of their previous track record they are in a good position to defend themselves. The plaintiff has to compile evidence…...

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