A Law school( Torts) work

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Hi this is a law a law school( Torts) work. which I am unable to understand what to do. Can you please explain in simple words. What are the policy consequences in musivand vs David case. 2 policy consequences shoul be from the case musivan vs David. And other should be one that you think of yoursel. ( it can be good or bad effec.  Further details are given in the attachment below Thanks.