Ethical Scenarios

Select two of the scenarios provided below. Analyze the facts in the scenarios and develop appropriate arguments/resolutions and recommendations.
Scenario I: Employment Law
Carole Smith, an Apostolic Christian, worked as sales associate at Nickels Department Store. One afternoon, during a break, Smith participated in a conversation about God, homosexuality, and same-sex marriages. The next day, an employee told the manager that Smith made inappropriate comments about gays to Casey, a Nickels employee who was gay. Over the next five weeks, Nickels investigated the incident by interviewing and obtaining statements from employees who were present during the conversation. In his statement, Casey reported that Smith pointed her finger and said that God does not accept gays, that gays should not be allowed to marry or have children, and that they will burn in hell. Three employees confirmed Smith’s statements.

Nickels terminated Smith’s employment after concluding she had engaged in serious harassment in violation of its Discrimination and Harassment Prevention Policy. This policy, of which Smith was aware, prohibits employees from engaging in conduct that could reasonably be interpreted as harassment based on an individual’s status, including sexual orientation, and provides that employees who violate the policy will receive “coaching and/or other discipline, up to and including termination.” Nickels has “zero tolerance” for harassment “regardless of whether such conduct rises to the level of unlawful discrimination or harassment” and treats serious harassment as gross misconduct and grounds for immediate termination.

Smith filed suit, alleging her termination for stating that gays should not marry and will go to hell—a belief that she maintains is an aspect of her Apostolic Christian faith—constitutes unlawful discrimination under Title VII. Is she correct?
If Smith posted the same information on her Facebook page but omitted references to the specific employee, would the outcome of her lawsuit for wrongful termination change?
Scenario III: Agency, Employment and Torts
Brenda Byars, on her way to a business meeting and in a hurry, stopped at a Radio Shack to pick up a new car charger for her smartphone. There was a long line at one of the checkout counters, but a cashier, Phyllis Richmond, opened another counter and began loading the cash drawer. Byars told Richmond that she was in a hurry and asked Richmond to work faster. Instead, Richmond slowed her pace. At this point, Byars hit Richmond.

It is not clear whether Byars hit Richmond intentionally or, in an attempt to retrieve the car charger, hit her inadvertently. In response, Richmond grabbed Byars by the hair and hit her repeatedly in the back of the head, while Byars screamed for help. Management personnel separated the two women and questioned them about the incident. Richmond was terminated immediately for violating the store’s no-fighting policy. Byars sued Radio Shack, alleging that the store was liable for the tort (assault and battery) committed by its employee.

Under what doctrine might Radio Shack be held liable for the tort committed by Richmond?
What is the key factor in determining whether Radio Shack is liable under this doctrine?
How is Radio Shack’s potential liability affected by whether Richmond’s behavior constituted an intentional tort or a tort of negligence?
Suppose that when Richmond applied for the job at Radio Shack, she disclosed in her application that she had previously been convicted of felony assault and battery. Nevertheless, Radio Shack hired Richmond as a cashier. How might this fact affect Radio Shack’s liability for Richmond’s actions?

Sample Solution

The new dispute resolution procedure adopted in the Uruguay round is incorporated in the Understanding on Rules and Procedures Governing Settlement of disputes. The Uruguay Round agreement also made it impossible for the country losing a case to block the adoption of the ruling. The members of the World Trade Organization agreed on establishing the dispute settlement rules and procedure. Article 1 of the Understanding on Rules and Procedures governing the Settlement of Disputes provides for coverage and application of the rules. It states that the rules and procedures of the Understanding shall apply to disputes brought pursuant to the consultation and dispute settlement provisions of the agreement listed in Appendix 1 (which is referred to as “covered agreements”). The rules and procedures shall also apply to consultations and the settlement of disputes between Members concerning their rights and obligations under the provisions of the Agreement Establishing the World Trade Organization (which is referred to as WTO Agreement).

Procedure followed in dispute resolution.
The World Trading Organization’s procedure of settling disputes underscores the rule of law, and it makes the trading system more secure and predictable. The system is based on clearly-defined rules, with timetables for completing a case. First, rulings are made by a panel and endorsed or rejected by the World Trade Organization’s full membership. Appeals based on points of law are possible.

The disputes between the member nations usually arises when a member nation fail to follow the principles laid down by the Organization or when the member nation fails to adhere to the promise made by the said member nation. There arises a dispute between the particular member nation and the nations which are affected by the steps taken by the member nations. A dispute may also arise when one country adopts a trade policy measure or takes some action that one or more fellow – WTO members considers to be breaking the WTO agreements, or to be a failure to live up to the obligations which the member nat

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