Torts can be purposeful or negligent, but ultimately result in some kind of damage. Within the business simulation from Harb, we could identify possible torts as a team. The torts we identified were: unsafe water causing leukemia, infliction of emotional distress, and the possibility of defamation of character. Many factors can contribute to the Enterprise Risk Management process; however, it is necessary to minimize the risks and organization encounters. The Enterprise Risk Management process is defined as, “The management of corporate or enterprise-wide risks and opportunities in one systematic, structured, and comprehensive framework using both a consistent methodology and terminology” (Harb, 2008, p. 4). The ERM process essentially helps an organization develop a better implementation process of planned projects and identifies potential areas of threat. Tort Violations
Tort law entitles injured persons to receive monetary compensation from those responsible for their injuries. Those injuries include pain and suffering, physical, emotional, economic, and reputational injuries as well as violations of privacy, property, or constitutional rights (Kreithen Baron & Carpey, 2012).
A lawsuit was filed in the case against Alumina Inc. in the Business Regulation Simulation. Kelly Bates claimed that the unsafe water caused her daughter’s leukemia. The five-year timeframe fit Kelly’s situation and she had a solid case against Alumina Inc. Alumina Inc. was being charged with an unintentional tort, known as negligence. To be successful in a negligence lawsuit, the plaintiff must prove that injury occurred as a direct result of negligence (Cheeseman, 2012). If the defendant’s act caused the plaintiff injury, the lawsuit could be damaging.
Another possible tort violation would be negligent infliction of emotional distress. This tort involves a bystander (Kelly Bates), who witnessed her daughter’s affliction with leukemia and was...