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Answer both questions 1 and 2 below in this same discussion.

1. Applying concepts of agency law, discuss StuffMart’s liability for employee torts in the following case study. Be sure to incorporate 2 key terms to explain your analysis. Put the terms in all caps so they stand out.

Marty Mad is an employee of StuffMart. When Marty was hired, StuffMart was in a jam to get more workers, so it did not do a background check. Marty works as a stocker and occasionally as a checker. One night, Marty is furious at his supervisor for refusing his vacation request. He storms to his checkout line, still upset, and begins to help a customer by slamming groceries into the bags, throwing items in the cart, and yelling at the customer to hurry and pay. When the customer asks, "What is wrong?" Marty walks around from the register, punches the customer in the arm, and pushes the cart into the customer's stomach with such force that the customer falls to the floor injured. The customer sues StuffMart. You review the facts and Marty’s employment file. Since there was no background check, you order one and find that Marty does not have a criminal record.

2. Most everyone has had a thought of owning a business or buying a franchise. Pretend you are starting your own small business. After reading Chapters 31 and 32, explore the business resources on your Secretary of State’s website. Based upon your readings and research:

What name will you use for your business? Conduct a “name” search for your business on the Secretary of State’s website. Share with the class your findings.

What type of business entity will you elect? Explain why.

What did you learn from the Secretary of State’s website that will help you get your business started?

Provide a link to the Secretary of State’s website at the end of your discussion.

Provide a legal analysis of your decision using key concepts and terms from this week’s readings.

Chapter 31 Chapter Introduction 31-1 Sole Proprietorships 31-2 Corporations 31-2a Corporations in General 31-2b Special Types of Corporations 31-3 Limited Liability Companies 31-3a Formation 31-3b Flexibility 31-3c Transferability of Interests 31-3d Duration 31-3e Going Public 31-3f Changing Forms 31-3g Piercing the Company Veil 31-3h Legal Uncertainty 31-3i Choices: LLC v. Corporation 31-4 Social Enterprises 31-5 General Partnerships 31-5a Tax Status 31-5bL iability 31-5c Formation 31-5d Management 31-5e Raising Capital 31-5f Transfer of Ownership 31-5g Dissociation 31-6 Limited Liability Partnerships 31-7 Professional Corporations 31-8 Joint Ventures 31-9Franchises 31-9aAdvantages of a Franchise 31-9bThe Drawbacks of a Franchise 31-9cLegal Requirements

Chapter 32 Chapter Introduction 32-1 Introduction 32-2C reating a Partnership 32-2a Is This a Partnership? 32-2b Partnership by Estoppel 32-3 The Partnership and Outsiders 32-3a Liability of the Partnership to Outsiders 32-3b Paying the Debts of the Partnership 32-4 Relationship among Partners 32-4a Financial Rights 32-4b Management Rights 32-4c Management Duties 32-5 Terminating a Partnership 32-5a Dissociation 32-5b Continuation of the Partnership Business 32-5c Termination of the Partnership Business