Overview

A tort is a civil wrong—other than breach of contract—that causes harm and gives rise to liability. Businesses face tort exposure in negligence, intentional acts, and strict‑liability product claims. Understanding these risks helps firms implement policies that prevent litigation and protect stakeholders.

Key Tort Categories

• Negligence: Duty, breach, causation (actual & proximate), and damages. Defenses: contributory negligence, comparative fault, assumption of risk.
• Intentional Torts: Assault, battery, false imprisonment, defamation (libel/slander), fraud, interference with contractual relations.
• Strict Liability: Liability without fault for abnormally dangerous activities and defective products.
• Product Liability Theories: Manufacturing defect, design defect (risk‑utility test), failure to warn (adequate instructions).
• Business Torts: Trade‑libel, disparagement, misappropriation of trade secrets, deceptive trade practices.

Step‑by‑Step Example

Scenario: A coffee shop mops its tile floor but fails to post warning signs. A customer slips, breaking an arm. Is the shop liable for negligence?

Step 1 – Duty: Businesses owe invitees a duty of reasonable care to keep premises safe.

Step 2 – Breach: Omitting a “Wet Floor” sign breaches that duty—foreseeable risk.

Step 3 – Causation: “But‑for” the breach, the fall wouldn’t occur; wet floor is proximate cause of the injury.

Step 4 – Damages: Medical bills, lost wages, pain and suffering.

Answer: Elements satisfied—shop is liable unless customer’s negligence (e.g., running) is proven, which may reduce recovery under comparative‑fault rules.

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