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:

Specific Undertaking

A precise commitment or obligation that a party agrees to carry out.

Limited Liability Partnership

A partnership in which some or all partners (depending on the jurisdiction) have limited liabilities, protecting them from the debts of the partnership and other partners' actions.

Normal Joint

This term does not correspond to a widely recognized legal term, likely referring to a common or typical joint in physical or structural contexts. NO.

Tax Benefits

Financial advantages given by governments, reducing taxpayer burden and incentivizing certain behaviors or investments.