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Penny and Lucien have a joint love of race horses. Penny has a prize horse (name

ID: 349821 • Letter: P

Question

Penny and Lucien have a joint love of race horses. Penny has a prize horse (named "Treasurer") and Lucien is particularly skilled in training horses. Penny doesn't have enough money to hire Lucien to train Treasurer, but they orally agree that Lucien will train and take care of Treasurer, and Penny will provide the stables, food and other care. They agree to "share in the profits" and shake hands on the deal. Treasurer goes on to win many races, and Penny shares the winnings with Lucien. Lucien becomes famous because of this success, and holds himself out to other horse owners as a famous and successful trainer because of his work with Treasurer. Lucien makes significant sums from this other work he does not share with Penny. Treasurer becomes very valuable. A visitor to the track, Eddie, is standing next to Treasurer when Lucien negligently leads him out of his stall. Eddie gets kicked, and suffers a debilitating injury; Eddie sues both Penny and Lucien for his injuries. Penny believes she is entitled to a share of Lucien's earnings as a famous trainer, and sues Lucien. Lucien believes he is entitled to a share of Treasurer's sale value, and counterclaims for his share. Use legal analysis to describe how a court should decide the case between Penny and Lucien. Who will have to pay for Eddie's injuries and why?

Explanation / Answer

Issue: Who will be liable to pay injuries to Eddie's injuries?

Analysis: As per law there should be legal contarct between parties which show their responsibility and their profit sharing otherwise it vary from case to case.As we seen in this case there is no formal contract between Penny and Lucin regarding horse training and profit sharing there is only mutual oral agreement which is witnessed by no one. On the other side Lucien rpresent Penny in races of horse as trainer so for everyone it seems to be related and having contract. here Eddie suffers injury due to negligience of Lucien so he claims for fine to both of them(Lucien and Penny) as they work together.Here lucien and penny also sues each other for respectives shares in each other earnings as per their believes that is also not on legal papers the basis of claiming each other earnings.

Conclusion: In the present case we see there is no formal contract between Lucin and Penny regarding sharing in their earnings and also responsibilty so court will decide that they can not demand share in respective earnings without contract/agreement. On the other hand in eyes of world it seems both are working together that's why Eddie sue on both of them as the injury happens because of Luicien negligience here court deemed them to be related and both will be liable to pay Eddie's injury.Here contrary view can also be taken by Court to held Penny responsible to pay to Eddie in absence of agreement between Lucien and Penny.

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