Chapter 13 key terms 1 agency a relationship in which one person agent acts for another principal based on authority voluntarily given 2 agent a person authorized by a principal to act on the principals behalf under the principals direction 3 class action suit a legal device in which many people who have suffered losses from the same cause sue the defendant jointly 4 credit card fraud use of a credit card that is stolen or other wise unauthorized by the true cardholder 5 disclaimer a term in a contract that attempts to avoid all liability on the part of one party 6 errors and omissions insurance covers the cost of defending a lawsuit and any adverse judgment resulting from failure to fulfill one s obligation to a client 7 e tickets paperless tickets representing reservations that are recorded exclusively in computer files The only paper produced in the transaction is the receipt 8 independent contractors one who contracts to do work for another but who maintains control of the method of accomplishing the work Also someone hired by another to perform a given task according to methods and procedures that are independent from the control of the hiring party 9 montreal convention an international treaty effective in 2003 that controls many aspects of lawsuits against airlines for injuries and losses caused in the process of international airline travel 10 negligent entrustment providing a product for use by another knowing that person is likely to use the product in a dangerous manner 11 principal a person who authorizes an agent to act on his or her behalf and controls or directs the method used by the agent in performing authorized tasks 12 small claims court a forum that dispenses with formal rules of evidence and procedure that govern trials in other courts 13 tariff rule or condition of air travel that binds the airline and passengers Tariffs are developed by airlines and approved by the federal government 14 travel insurance insurance that may be purchased to protect against financial losses associated with trip cancellations injuries and other mishaps that can occur while on a trip 15 warsaw convention international treaty that sets limits of liability for lost stolen damaged or misdelivered baggage Chapter 14 key terms 1 at will employment rule of law that provides that an employment contract between an employer and an employee that is indefinite in duration can be terminated by either party for any reason or no reason at any time without liability 2 back pay item of damages in a discrimination case Refers to the difference between the amount of money an employee would have earned in the absence of discrimination and the amount of money the employee earned as the victim of discrimination 3 bona fide occupational qualification job qualification that legally discriminates on the basis of race religion national origin or gender because excluded classes cannot perform the job effectively such inability is factually supported and the job classification is reasonably necessary for the normal operation of business 4 business necessity criterion for job applicants that has an obvious relationship to the job 5 collective bargaining process where representatives of a union negotiate with the representatives of management on terms of employment such as hours wages benefits vacations and other working conditions 6 collective bargaining agreement contract between workers and management that is a result of collective bargaining 7 disability physical or mental impairment that substantially limits a persons ability to walk see hear perform manual tasks learn work or care for themselves 8 disparate impact neutral employment practices that unintentionally result in unequal treatment 9 disparate treatment intentional discrimination based on race color religion gender or national origin 10 equal employment opportunity commission an agency of the federal government that is authorized to both develop policy and enforce title VII mandates against discrimination 11 equal pay for equal work rule included in the equal pay act which requires that men and women who do virtually the same jobs that require equal or similar skill effort and responsibility be paid the same or according to the same pay schedule 12 essential functions core responsibilities of a job as distinguished from marginal or incidental assignments 13 fair labor standards act federal law adopted in 1938 to eliminate unfair methods of compensation and labor conditions injurious to the health of workers 14 glass ceiling artificial barriers that have held women and minorities back from promotion to management and decision making positions in business 15 hostile environment sexual harassment verbal or physical conduct of a sexual nature that creates an intimidating hostile or offensive work environment 16 illegal alien one who enters the united states without the necessary authorization 17 immigrant in the united states a citizen of another country who enters the united states 18 negligent hiring a cause of action that holds an employer responsible when an employee harms a customer or another worker and a background check which was not conducted would have revealed a propensity for aggressive or assaultive conduct 19 protected classes categories that an employer cannot discriminate against including race skin color religion gender pregnancy national origin disability age or union membership 20 quid pro quo sexual harassment unwelcome sexual advances or requests for sexual favors in return for job benefits 21 retaliatory discharge circumstance in which an employee is discriminated against and or terminated by an employer because the employee asserted a complaint against the employer 22 sexual harassment 1 quid pro quo sexual advances or requests for sexual favors for job benefits 2 hostile environment physical conduct of a sexual nature that creates a Hostile work environment 23 undue hardship refers to an accommodation under the americans with disabilities act that requires significant difficulty or expense on the part of the employer taking into account such factors as the nature of the business cost of accommodation and the business resources Chapter 13 book notes I Travel Agents and Airlines rights and liabilities A Introduction when travel plans go wrong B Makeup of the Travel Industry 1 four groups 1 three categories of travelers wealthy business people and gov t officials 2 agents don t just sell tickets they give advice on trip