Peter worked as a delivery person for Watsonâs Drug Store in Bosie. As part of Peterâs duties and responsibilities he would regularly deliver prescriptions and other items (such as toiletries, cosmetics, vitamins and gift products) to customers. One afternoon while Peter was on duty, he remembered that it was his girlfriend, Cindyâs, birthday. He went ahead and bought her a bottle of perfume from the pharmacyâs cosmetic department. Peter paid the full price of $29.99 for the perfume, which he had gift-wrapped. He then drove to Cindyâs house in the company van to personally deliver the birthday present. This trip took place during Peterâs regular working hours. As he was traveling to Cindyâs house, he was in such a hurry that he drove through a red light and collided with a vehicle owned and operated by Wally, who had entered the intersection on the green light, tried unsuccessfully to swerve and stop but was unable to avoid Peterâs vehicle. Wally was injured in the accident, which also caused extensive damage to both vehicles. Wally was successful in his suit against Watsonâs Drug Store and recovered $25,000 in damages. Suppose, too, that this jurisdiction has applicable statutes for contribution and indemnity. In the event that Watsonâs now brings suit against Peter to recover for its losses, Watsonâs will recover:
A. nothing, because the drug store was primarily liable for the entire amount of damages.
B. nothing, unless Peterâs delivery to Cindyâs house was unauthorized.
C. $25,000, because Peter was at fault in causing the accident.
D. $25,000, unless the drug store was fully insured against such losses.
Answer:C
Peter worked as a delivery person for Watsonâs Drug Store in Bosie. As part of Peterâs duties and responsibilities he would regularly deliver prescriptions and other items (such as toiletries, cosmetics, vitamins and gift products) to customers. One afternoon while Peter was on duty, he remembered that it was his girlfriend, Cindyâs, birthday. He went ahead and bought her a bottle of perfume from the pharmacyâs cosmetic department. Peter paid the full price of $29.99 for the perfume, which he had gift-wrapped. He then drove to Cindyâs house in the company van to personally deliver the birthday present. This trip took place during Peterâs regular working hours. As he was traveling to Cindyâs house, he was in such a hurry that he drove through a red light and collided with a vehicle owned and operated by Wally, who had entered the intersection on the green light, tried unsuccessfully to swerve and stop but was unable to avoid Peterâs vehicle. Wally was injured in the accident, which also caused extensive damage to both vehicles. Wally was successful in his suit against Watsonâs Drug Store and recovered $25,000 in damages. Suppose, too, that this jurisdiction has applicable statutes for contribution and indemnity. In the event that Watsonâs now brings suit against Peter to recover for its losses, Watsonâs will recover:
A. nothing, because the drug store was primarily liable for the entire amount of damages. B. nothing, unless Peterâs delivery to Cindyâs house was unauthorized. C. $25,000, because Peter was at fault in causing the accident. D. $25,000, unless the drug store was fully insured against such losses.