
Case Summary: A person, NL, was admitted to PCC, a nursing home, for treatment. She suffered from various ailments which included dementia. Owing to NL’s mental condition, her daughter took care of the paper work and signed the agreement. The agreement had a clause requiring the parties in dispute to submit their case to arbitration in the wake of any dispute. Later on, she sued the nursing home for negligent treatment and malpractice. The nursing home forced her to be a subject to arbitration. The trial court concluded that the said agreement was unenforceable. PCC appealed.
To find: (a) The enforceability and ethicality of arbitration in the case of medical negligence and malpractices.
To find: The ability of a person with limited mental capability to arbitration.

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Chapter 2 Solutions
The Legal Environment of Business: Text and Cases
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