In this assignment you analyze a business scenario to summarize the principles of agency law, recommend steps to limit liability, and determine the circumstances under which a business might be liable for employee conduct.
Ride-sharing companies are largely hailed as the advent of the gig economy, which is the idea that people do not work as permanent employees for one employer but instead work in a labor market characterized by short-term contracts or freelance work. While creating a new type of entrepreneurship for individuals, a gig economy raises a host of new legal questions about the law of agency for companies utilizing gig workers.
Widgets operates a ride-sharing business with over 100 drivers. Your boss has asked you to evaluate Widgets’ legal exposure for the conduct of its drivers. Several drivers have had accidents, and one driver was arrested for driving while intoxicated when providing a ride for a company client. Widgets has no policy for hiring or checking backgrounds and, for some drivers, allows the use of four company vehicles for transporting large groups.
Consider the above scenario and complete a 3–4 page memo in which you do the following:
Note: Remember, you are demonstrating your understanding of the law, so explain the law first and then answer the questions of the assignment. Be informative and show what you know! Provide references from credible and reputable legal sources.
Your memo should:
FROM: Your Name
RE: Legal Liability and the Gig Economy
This course requires the use of Strayer Writing Standards. For assistance and information, please refer to the Strayer Writing Standards link in the left-hand menu of your course. Check with your professor for any additional instructions.
The specific course learning outcome associated with this assignment is as follows: