Liability of Principal to Third Parties for Torts of an Agent Flashcards
Principal will be vicariously liable for torts committed by agent if
1- there is a Principal/Agent Relationship &
2- tort was committed within scope
The principal-agent relationship requires
1- Assent
2- Benefit &
3- Control
Assent
an informal agreement between principal, who has capacity, and agent
Benefit
Agent’s conduct must be for principal’s benefit
Control
Principal must have the right to control the agent by having the power to supervise the manner of agent’s performance
Independent Contractors
No vicarious liability
Exceptions:
Inherently Dangerous Activities (non-delegable activities), &
estoppel.
Scope of Principal-Agent Factors
Was conduct “of a kind” agent was hired to perform?
“Frolic” v. “Detour”?
Did the agent intend to benefit the principal?
Intentional Torts
Outside scope
Except if the conduct was:
- authorized by the principal
- natural from nature of employment
- motivated by a desire to serve principal