Assumption of responsibility. Flashcards
What is the leading case for assumption of responsibility? What are the facts briefly?
(Hedley Byrne). Facts: bank gives bad advice but with disclaimer. No liability because they did not assume responsibility.
What are the elements of (Hedley Byrne) liability?
1) Assumption of responsibility; 2) negligent misstatement; 3) reasonable reliance on statement; and detriment/loss as a result.
If the defendant assumes responsibility based on the lack of true disclosure by the claimant, can liability arise? Which case illustrates this?
No liability cannot arise (Playboy Club London v Banca Nazionale del Lavaro).
This case involves a duty of care in assuming responsibility but no liability because of the possibility of the detriment happening somewhere else anyways. What is the case? Give facts and ratio briefly.
(Calvert v William Hill Credit). A compulsive gambler invoked a rule that banishes compulsive gamblers from gambling in this one casino but was served anyways and lost a lot of money. He sued but no liability because he could have gambled elsewhere and this would have not stopped him.
Does assumption of responsibility apply in social situations? Which case illustrates this? Give facts briefly.
Yes it can arise in social situations (Chaudry v Prabhakar - man took responsibility for buying car and bought a car with the exact opposite specification from what claimant has asked for).
What is the manner that the House of Lords said that Hydley Byrne liability can be extended? What tests in what order should they be used? Which case illustrates this?
You first start of with Hydley Byrne assumption of responsibility but if you want to extend the scope of liability you can use the Caparo test (Customs and Excise Commissioners v Barclays Bank).
