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Mabey Group: Personal Injury Claim and Compensation

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Mabey Group: Personal Injury Claim and Compensation
Case – Who should pay ? Source - Course Book, Pg 404
Analyzing the case through 8 steps framework. Step 1: Facts of the Problem and Goal to be achieved.

Brief description of the case Gene Elliot finds himself in a cobweb of different companies acting as employers, permanent or temporary and working on the same project, directly or indirectly. Having sustained grave injuries at workplace he sues two companies demanding $2.4 mn in settlement. The companies are trying to shrug off the responsibility by referring to different clauses outlined by the law. As the amount is not even contested, goal is to find which organization should be ethically responsible for the compensation payment. In case the best solution is a break up between companies, it is to be made sure that the share of every company is fair. Step 2:Different Stakeholders and how are they affected. Gene Elliot: The victim, who suffered a permanent disability and right now is struggling to get compensation. He is staring at loss of employment forever. The disability renders him incompetent in his area of expertise. Mabey Bridge: Parent company of Gene Elliot. One of their employee is not able to offer his services for considerable time and the same time is struggling for compensation. This sets a very bad precedent for other employees and will not accept such assignment in future. Turner Construction: As they accepted Gene as their temporary employee, ethically they are also responsible to any mishap during his employment with the company. B&C Steel: As this company was actually doing work and a study found out that there were other instances of negligence as well, it is highly probable that court will ask B&C steel to pay damages to Gene.

Step3: What are the alternatives and which alternatives will be closed if a particular alternative is preferred and which alternatives will still be open? Alternative 1 - B&C Steel pays the entire amount, if proven guilty. Alternative 2 - Turner Construction and B&C

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