UpliftMovers (UM) is a moving company specialising in the relocation of business

Question

UpliftMovers (UM) is a moving company specialising in the relocation of businesses. Titanic Global Octopus (TGO) employs UM to move its office equipment including furniture and computers to its new premises. To do the job within the tight time frame specified (TGO must have its new office installed and ready for business by 9 o'clock on Monday morning) UM agrees to work over the weekend. At 3 am on Monday morning while making the final delivery Monty, UM's driver, falls asleep at the wheel and crashes the delivery truck. Desks and computers fall onto the road and are damaged. When TGO sees the damage to its desks and computers it wants to make a claim against UM. But UM points to the contract which TGO has signed that says, " In the event of any damage by UpliftMovers, or its employees, to any of the client's (TGO's) property being moved, from whatsoever cause and howsoever arising, the total amount for which Uplift Movers shall be liable, regardless of the number of items damaged, shall not exceed $1,000." TGO estimates that the damage to its property is $30,000. One of the computers was a personal computer owned by Karl. TGO has encouraged its employees to use their own computers in order to save costs. The computer was completely destroyed. A replacement computer will cost Karl $2,500. In one of the damaged desks was a ring owned by Lennie. He had been storing it in a locked drawer in his office desk for safekeeping before giving it to his partner on their anniversary. The lock was damaged and when Lennie got his desk back on Monday he discovered that someone had stolen the ring valued at $5,000 REQUIRED Advise TGO, Karl and Lennie as to any claims they may have against UM. Word Limit: 700 words

Explanation / Answer

In this case there are brodly two situations.One between the company TGO and moving company UM and another between the employer (TGO) and the employee Karl and Lennie respectively.

Talking first about the TGO and UpliftMovers, in case of shifting any person should take extra care in choosing the right and responsible movers and Packers for safe shifting of their belongings and when it comes to making the agreement the person should be vigilant and should ensure reading all the terms of the contract before signing the same. In this case the contract between both the companies specifically mentions that in case of any sort of damage during the process for whatsoever reasons the liability of UM will not exceed $1000 dollars irrespective of the real damage. In the light of such a contract TGO has no chance to claim the real damage i.e around $30000. TGO should have read the contract and its terms beforehand and hence they can't succeed in claiming anything more from UM.

Talking about Karl and Lennie,they have no claim against UM since there was no contract between them .The contract was between TGO and UM and hence UM is only liable to TGO as per their mutual contract.

Karl and Lennie though can have a claim against TGO for the damage to their property.TGO encouraged employees to use their personal computer for work and the damage has occurred due to TGOs negligence in choosing the movers for shifting and hence is liable to replace the same for Karl.As far as Lennie is concerned he may not succeed in getting any claim for his ring since usually there is no law for protection of personal belongings of employees in work place and hence the ring was not company's responsibility.Also there being no evidence of the ring being there and no prior intimation of the ring being in the desk drawer, Lennie can have no claim against TGO or UM.

Related Questions

Navigate

• Browse (All)
• Browse U
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.