Agency: Tort Liability

Question 1

Principal’s Vicarious Liability for Agent’s Torts: Test

Answer 1

Principal will be held liable for torts committed by its agent if (1) there is a principal-agent relationship and (2) the tort was committed by the agent within the scope of that relationship

Question 2

Principal-Agent Relationship: Reqs

Answer 2

Assent, Benefit, Control

Question 3

Control Req. of Principal-Agent Relationship

Answer 3

A principal must have the right to control the agent by having power to supervise the manner of the agent’s performance

Question 4

Sub-agents and Borrowed Agents

Answer 4

Sub-agents: P is VL only if there is ABC between P and sub-agent
Borrowed: P is VL only if there is ABC between borrowing P and borrowed agent tortfeasor

Question 5

Independent Contractor: General Rule

Answer 5

There is generally no VL for independent contractor’s torts because there is no right to control an independent contractor

Question 6

Independent Contractor: Exceptions

Answer 6

(1) Inherently dangerous activities; (2) Estoppel (if you hold out your independent contractor with the appearance of agency, you will be estopped from denying liability)

Question 7

Scope of Principal-Agent Relationship: Factors

Answer 7

(1) Was the conduct of the kind the agent was hired to perform (within job description)?; (2) Did the tort occur on the job (detour, not frolic)?; (3) Did the agent intend to benefit the principal, even in part?

Question 8

Intentional Tort Liability: General Rule + Exceptions

Answer 8

Intentional torts are generally outside the scope of employment unless the conduct was authorized by the principal, natural from the nature of the emp’t, or motivated by a desire to serve the principal