Mikael Recently Started a Home-Based Business Selling Custom Fishing Lures

question 153

Multiple Choice

Mikael recently started a home-based business selling custom fishing lures. He decided that he could make a lot more money selling his homemade lures on the Internet. Mikael is not the least bit technologically-inclined, but he knows that his next-door neighbour, Perm, does web design on the side. He decides to hire her to create a website for his new venture. Perm has him sign an agreement that includes an exemption clause that limits her liability in cases of negligence. In the course of designing the website, Perm becomes annoyed at Mikael because his dog keeps digging up her rose bushes. Rather than confront Mikael directly, Perm deliberately puts the wrong pricing information on Mikael's website to get him back. If Mikael suffers damages as a result and wants to sue Perm, what would the likely result be?

• A) The exemption clause would protect Perm because of the principle of "freedom to contract."
• B) The exemption clause would be severed as being an illegal restraint of trade.
• C) Perm's actions were outside the scope of the contract, so Mikael would have no claim in law.
• D) Perm only did freelance web design; as a non-professional she would not face liability.
• E) Perm's acts were deliberate, not negligent, so Perm would not be protected by the exemption clause.

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Definitions:

Defined Benefit Plans

Retirement plans promising a specified monthly benefit at retirement, often based on salary and years of service.

Longevity

The length of time an individual or entity has been in existence or operational, often used in the context of work tenure or product durability.

Defined Contribution Plans

Retirement plans in which employees contribute a fixed amount or percentage of their salaries, and the final benefits depend on the plan's investment performance.

Mandatory Benefits

Benefits that employers are legally required to provide to their employees, including social security, workers' compensation, and unemployment insurance.