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Liability in Sport and Rec Quiz 2

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Liability in Sport and Rec Quiz 2 Risk management - ✔✔Steps taken by organizations to limit the legal uncertainties within their activities and services without changing the fundamental nature of those activities and services What is the D.I.M. Process of Risk Management ? - ✔✔1. Developing the risk management plan 2. Implementing the plan 3. Managing the plan The three stages of developing a risk management plan - ✔✔1. Identifying the risks 2. Classifying those risks 3. Selecting methods of treatment for each of the identified risks Classifying risks - ✔✔Determine how often the risk may occur (frequency) and the degree of the potential loss from the risk (severity) *Often times the risk matrix is used in the industry Treatment of the risks? - ✔✔1. Avoidance of the activity 2. Transfer the risk to another party 3. Retain the risk (self-insurance) 4. Reduce the risk How to transfer the risk of an activity? - ✔✔1. Insurance policies 2. Contract transfer through indemnification clauses and waivers 3. Use of independent contractors Facility inspections and risk management - ✔✔*A comprehensive facility inspection should be done as part of risk management plan development where as many potential risks or hazards as possible are identified Standards of practice - ✔✔Published by professional organizations - also referred to as guidelines or recommendations. May be used as evidence during a negligence lawsuit to help determine the legal duty (standard of care) the defendant owed the plaintiff Elements required to form a legally binding contract? - ✔✔1. Offer 2. Acceptance 3. Consideration Offer - ✔✔A communication from offeror to offeree that creates in the offeree the power to form a contract with an appropriate acceptance 1. Demonstrates a willingness to enter into an agreement 2. Includes definite terms 3. Puts the other party in position to accept /create the contract Bilateral contract vs. unilateral contract - ✔✔Bilateral = exchange of promises form the contract Unilateral = offer that can only be accepted by offeree's performance (ex. The winner of today's 5k will receive $100 cash prize) Acceptance - ✔✔The offeror creates the power of acceptance and may dictate the manner and medium of acceptance and other terms 1. Manner of acceptance 2

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