CH 3 Flashcards
What are strict liability torts?
They occur when a person does something wrong without intending and without acting carelessly it is enough that the defendant was responsible for the situation.
what is a tort?
a tort occurs when a person breaks a private obligation.
What is liability insurance?
A contract in which an insurance company agrees, in exchange for a price, to pay damages on behalf of a person who incurs liability.
What is the duty to defend?
It requires the insurance company to defend, at its own expense, any lawsuit that is brought against the insured party.
What two functions of a tort does liability insurance create tension between?
Compensation and Deterrence
What is the usual obligation that arises from a tort and contract?
Compensation
Which direction is compensation looking for a tort?
Back-ward looking
