Click to edit Master title style Protecting Patrons

Click to edit Master title style Protecting Patrons’ Property Chapter 8 Protecting Patrons’ Property Many slides Copyright © 2008 by Delmar Learning

Introduction • Hotel guests bring a variety of personal property to hotels • Theft issues

Absolute Liability for Guests’ Goods • According to common law, hotelkeepers were liable for any loss of guests’ property occurring on hotel premises – Doctrine was called absolute or strict liability

Absolute Liability for Guests’ Goods • Three exceptions: – Loss caused by an act of God – Loss caused by a public enemy – Negligence by the guest

Prima Facie Liability Rule Minority View • Six states have adopted a rule that modified absolute liability as follows: – Hotelkeepers are liable for property laws only if the loss occurs through their negligence – If the innkeeper can prove the loss resulted from some other cause

Limited Liability - Modern Limitations to the Absolute Liability Rule • Hotel complies with mandated rules • Faces only liability of a few hundred dollars, even if items are valued at much more

Limited Liability - Modern Limitations to the Absolute Liability Rule • If the innkeeper deviates from requirements of the statute in any manner, common law rule will apply and the innkeeper will have unlimited liability

Florida Law • Theft of personal property • See Section 509. 162(4), Florida Statutes, regarding employee theft • http: //www. leg. state. fl. us/statutes/index. cf m? mode=View%20 Statutes&Sub. Menu=1 &App_mode=Display_Statute&Search_Str ing=509. 162&URL=05000599/0509/Sections/0509. 162. html

Posting Notice of Availability of Safe • Posting means displaying a sign that calls attention to the availability of a safe and that states that, by law, the hotel’s liability for valuables is limited • Must be posted at the registration desk, on the check-in form, and in guest rooms

Strict Interpretation of Posting Requirements • Failure by the hotel to comply strictly with the posting requirements will result in loss of limited liability

Conspicuous Posting • Notice must be displayed in such a way that people are likely to see it • Must be easily readable

Languages Other Than English • If a hotel can anticipate guests who speak languages other than English, it is well-advised to post written notices in other languages as well as English

Clothes and Other Personal Property • Hotel liability is limited for clothing, inexpensive watches, sporting equipment, or merchandise samples • If loss is due to negligence on the part of the hotel, it will be liable for the full amount of a guest’s loss

Property Not Covered • Statutes do not cover all property that might be stolen • Applies only to hotel guests, not to non -guests • Cars, property of nonguests, and property of restaurant patrons is covered by law of bailments

Estoppel: Loss of Limited Liability • Equitable estoppel - legal principle that precludes a person from claiming a right because that person made a false representation to another who relied on the untruthful statement

Hotel’s Negligence • Most limiting statutes do not protect an innkeeper in situations where the loss of guests’ property is due to the hotel’s negligence

Comparative Negligence • Hotel and guest are both negligent - loss is due to combined negligence • Hotel’s liability will be reduced by the percentage of responsibility attributed to the guest

Liability for Guest Property • Bailment – The delivery of a property item for some purpose – With the expressed or implied understanding – That the person receiving it will return it in the same or similar condition in which it was received – When the purpose has been completed

Bailment (con’t) • Bailor – • Bailee – • A person who gives property to another in a bailment arrangement A person who received and holds property in a bailment arrangement Gratuitous bailment – A bailment in which there is no payment (consideration) in exchange for the promise to hold the property

Bailment (con’t) • Types of Bailments (liability may be different, but…) – Bailments that benefit the bailor (repairmen tools) – Bailments for the benefit of the bailee (restaurant borrow supplies from another restaurant) – Bailments for the benefit of both parties (valet service)

Bailment (con’t) • Detained Property – Personal property held by a bailee until the bailor makes lawful payment

Bailment • http: //www. youtube. com/watch? v=HE 3 On 9 YVyz. U • http: //www. youtube. com/watch? v=U 51 qi. E Xd. Pp. M • http: //www. youtube. com/watch? v=i 5 Ub. II_ Q 0_c

Property of Unknown Ownership • Mislaid Property – Personal property put aside on purpose but then forgotten by the rightful owner – Manager required to use reasonable care to protect until rightful owner claims – At some point ownership may transfer

Property of Unknown Ownership (con’t) • Lost Property – Personal property inadvertently put aside and then forgotten by the rightful owner – Manager has duty to make a reasonable effort to locate rightful owner – Time may differ based on the property found – http: //www. leg. state. fl. us/Statutes/index. cfm? App_mo de=Display_Statute&URL=07000799/0705 Contents. Index. html&Statute. Year=20 11&Title=%2 D%3 E 2011%2 D%3 EChapter%20705

Florida Law • Unclaimed Property, see Section 509. 191, Florida Statutes • http: //www. leg. state. fl. us/statutes/index. cf m? mode=View%20 Statutes&Sub. Menu=1 &App_mode=Display_Statute&Search_Str ing=509. 191&URL=05000599/0509/Sections/0509. 191. html

Property of Unknown Ownership (con’t) • Abandoned Property – Personal property deliberately put aside by the rightful owner with no intention of returning for it – Manager has no obligation for safe keeping or to locate owner – Broken items – Trash