Question 1 (50 marks) Project Runway Ltd is a limited company (‘the Company’) wh

Question

Question 1 (50 marks)

Project Runway Ltd is a limited company (‘the Company’) which engages in the business of designing and making ladies’ evening gowns. Recently, Miss Heidi, a designer in the Company, was using a sharp needle to sew material samples and negligently injured the left eye of Miss Gisele, a wealthy customer of the Company. Before the accident, Heidi had warned Gisele not to stand close to her, but Gisele ignored the warning. Gisele stood behind Heidi without Heidi noticing and the accident took place when Heidi pulled the needle backwards. Gisele was badly injured and suffered a permanent loss of vision in her left eye. Gisele wanted to sue the Company and Heidi. She estimated that her claim would be about HK$5 million. She wishes to know how the case should be processed and would like to seek some advice. Miss Gisele was previously a very successful business woman. Ever since she lost her eyesight in her left eye, she has been very depressed and wanted to appoint an agent to look after all her business. She knew nothing about the law of agency and consulted a lawyer for a legal opinion. Required:

a Advise Gisele in what cause of action she can sue Heidi and how she would proceed to prove her case. (20 marks)

b Is there any other party that Gisele can claim against besides Heidi? Is there any possible defence (s) available to Heidi if she is being sued by Gisele? In your answer, also explain the types of damages that Gisele can claim. (15 marks)

c Give an account in detail about the various kinds of authority of an agent and explain how Gisele can appoint an agent. (15 marks)

Explanation / Answer

A)Gisele can sue against Heidi in the following context. The incident happened at Heidi workplace, where Gisele had gone as a customer. As per the law , the workplace should be free from all possible accidents and hazards. If any workplace accident happened, the employer is responsible for the incident. He must pay for not only for the loss of her eye but also the mental agony caused to her. In this case, she warned her for the accident. Gisele can argue that her workplace is designed in such a way that even customers can cause accident. This shows her inefficiency in designing the workplace.

2) The other party she can claim against is the officers who are responsible for the operations of factoy outlets.

The possible defence: The warning from Heidi. She can counter that with the argument. Her workplace is designed in such a way that even customer can met accident.

3) She can appoint a registered advocate and give him the responsibility to run the above case.

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