Sarah Works for a Company That Has Offered a Promotion

question 44

Multiple Choice

Sarah works for a company that has offered a promotion if she was willing to relocate.Sarah accepted the position and put her house on the market right away.She sold her house the first day that the realtor held an open house.The buyer agreed to pay cash for the full purchase price of the house.Sarah was thrilled,except that it meant that she would have to put her furniture in storage until she found another house in her new city.She entered into a written contract with Safe Storage,Inc.The agreement included a clause excusing Safe Storage,Inc.from any liability for loss or damage,even if the loss or damage resulted from Safe Storage's negligent acts.Because of Self Storage's negligence,a fire destroyed the warehouse and all of its contents,including Sarah's household goods and furniture.Sarah claims that Safe Storage,Inc.is liable for the full value of the contents,which is approximately $10,000.Is Sarah correct?

• A)Yes, because storage warehouses are strictly liable for loss or damage, regardless of fault and regardless of exculpatory clauses.
• B)No, because there was equal bargaining power between Sarah and Safe Storage, Inc.
• C)Yes, because exculpatory clauses are illegal and never enforceable.
• D)Probably, because often a court will reject an exculpatory clause against a bailor who is a consumer.

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Definitions:

Subject Matter

The content or topic being discussed or studied.

Dichotomy Corollary

A principle suggesting a division or contrast between two things that are presented as being entirely different or opposite.

Bipolar

A psychiatric diagnosis characterized by significant mood swings, including manic highs and depressive lows.

Mutually Exclusive Alternatives

Options in a decision-making scenario that cannot be chosen or occur together.