If an illegal agreement has already been performed parties can sue for damages.
The contributory negligence of the client does not reduce the liability of an accountant
who is liable for malpractice.
Cameo Industries desired a workplace free from all forms of sexual harassment.
Accordingly, Cameo developed guidelines for its workers that specifically forbade
sexual harassment. The guidelines gave examples of conduct that would not be
tolerated, provided penalties, designated a company official as the proper person to
whom complaints should be brought, investigated complaints thoroughly, and
maintained an educational policy designed to remind employees of the policy.
Maureen, a Cameo Industries employee, made a complaint of sexual harassment,
charging that her supervisor had demanded sexual favors. An investigation was
performed and the charge was substantiated. The supervisor was warned not to continue
this conduct, but it happened again. The supervisor was again issued a warning. Finally,
Maureen brought a court action against the supervisor and Cameo. Cameo defended on
the ground that it had done all in its power to rectify the situation. Decide.