TDVL Legal Principles and Foundations 3 — Questions and Answers
Question 1: Under contract law, when a passenger hails a taxi and enters the vehicle, what type of contract is formed?
- Express written contract
- Implied contract for transportation services (Correct answer)
- Void contract
- Unilateral contract only
Correct answer: Implied contract for transportation services
An implied contract is formed by the actions of both parties — the driver stopping and the passenger entering — without a written agreement.
Question 2: A taxi driver is required to report a passenger who disclosed plans to commit a violent crime. This obligation stems from:
- Attorney-client privilege
- Duty to warn third parties under tort law (Correct answer)
- Passenger confidentiality statutes
- Freedom of speech protections
Correct answer: Duty to warn third parties under tort law
Under tort law principles established in cases like Tarasoff, individuals with knowledge of credible threats may have a duty to warn potential victims or authorities.
Question 3: Which legal principle protects a taxi driver who acts in good faith to assist an injured passenger at a crash scene?
- Sovereign immunity
- Good Samaritan law (Correct answer)
- Assumption of risk
- Proximate cause doctrine
Correct answer: Good Samaritan law
Good Samaritan laws in most states protect individuals from liability when they voluntarily provide reasonable emergency assistance.
Question 4: A city ordinance sets taxi fares. A driver charges more than the regulated rate. This action constitutes:
- A permissible business decision
- A regulatory violation subject to fines or license suspension (Correct answer)
- A civil wrong only if the passenger complains
- Legal if the passenger agrees verbally
Correct answer: A regulatory violation subject to fines or license suspension
Taxi fare regulations are legally binding, and overcharging violates municipal ordinances regardless of passenger agreement.
Question 5: Which legal concept determines whether a taxi company classifies its drivers as employees or independent contractors?
- The privity doctrine
- The economic realities and control test (Correct answer)
- The collateral source rule
- The business judgment rule
Correct answer: The economic realities and control test
Courts use the economic realities and control test to determine worker classification, examining factors like behavioral and financial control by the company.
Question 6: A taxi driver is found to have operated under the influence of alcohol. Under criminal law, this offense is classified as:
- A strict liability offense in all states
- Driving Under the Influence (DUI), a criminal offense (Correct answer)
- Only a civil infraction for first-time offenders
- A federal misdemeanor
Correct answer: Driving Under the Influence (DUI), a criminal offense
DUI is a criminal offense in all U.S. states, and for commercial vehicle operators the BAC threshold is typically lower (0.04% vs 0.08%).
Question 7: What is the primary legal purpose of requiring taxi drivers to display their license and taxi number prominently in the vehicle?
- To comply with advertising regulations
- To ensure accountability and passenger ability to file complaints (Correct answer)
- To help other drivers identify the vehicle
- To satisfy federal interstate commerce requirements
Correct answer: To ensure accountability and passenger ability to file complaints
Visible display of driver credentials enables regulatory accountability and provides passengers with information needed to file complaints.
TDVL Legal Principles and Foundations 3
Under contract law, when a passenger hails a taxi and enters the vehicle, what type of contract is formed?