Vicarious Liability Flashcards
What is vicarious liability?
Vicarious liability is the term used to explain the liability of one person for the torts committed by another, typically arising in the context of employment.
What is the employer’s liability for an employee on a frolic of their own?
An employer is not liable for torts committed by an employee who is engaged in a frolic of their own, meaning actions unrelated to their work.
Explain the term ‘frolic of his own’ in relation to vicarious liability.
A frolic of his own refers to a situation where an employee acts outside the scope of their employment, and as a consequence, the employer is not liable for the employee’s actions.
What are the three situations used to determine an employer’s liability for an employee’s torts?
A) Frolic of his own, B) Authorised act in an unauthorised manner, C) Illegal acts and the closeness of connection test.
What is the control test?
The control test considers whether the employer has the power to control how the work is done, established in Yewen v Noakes [1880].
What is the organization test?
The organization test distinguishes between a contract of service (employment) and a contract for services (independent contractor), assessing whether the work is integral to the business.
What is the economic reality test?
The economic reality test evaluates various factors such as payment method, tax responsibilities, working hours, and levels of independence to determine employment status.
What does the course of employment refer to?
The course of employment refers to the scope of activities an employee is engaged in while performing work-related tasks; employers are responsible for actions within this scope.
When may an employer be vicariously liable for an unauthorized act?
An employer can be vicariously liable for an authorized act done in an unauthorized manner as long as the employee was acting within the scope of their employment.
What is the general rule regarding authorized acts in unauthorized manners?
The general rule is that an employer is vicariously liable for acts that are authorized but performed in an unauthorized manner.
Explain the closeness of connection test with respect to illegal acts.
An employer may be vicariously liable for an employee’s unlawful actions if there is a significant closeness of connection between the employment and the unlawful act.
What landmark case established the control test for vicarious liability?
Yewen v Noakes [1880] established the control test.
What case distinguished a contract of service from a contract for services?
Stevenson, Jordan & Harrison Ltd v MacDonald & Evans [1952] distinguished a contract of service from a contract for services.
What must a claimant show to establish vicarious liability?
The claimant must show that the defendant is an employee and that the tort was committed during the course of employment.
What are the advantages of vicarious liability for claimants?
Claimants are more likely to receive compensation as employers usually have the financial means to pay, and they may have insurance.
What are potential disadvantages of vicarious liability for employers?
Employers may suffer reputational harm, high insurance premiums, and can find it difficult to control employee actions outside of work hours.
What did the case of Century Insurance v Northern Ireland Transport Board clarify?
It clarified that an employer is vicariously liable for an authorized act done in an unauthorized manner.
What is the significance of the closeness of connection case, Lister and Others v Helsey Hall Ltd?
This case emphasized the importance of the connection between employment and the tortious act for establishing vicarious liability.
What are some reasons for the good of vicarious liability?
Employers pay insurance, must ensure employee safety and training, and are usually in a better financial position to compensate claimants.
What are some reasons against vicarious liability?
It may harm employer reputation, create challenging insurance environments, and place undue burden on employers for employees’ off-duty conduct.
How does working from home affect vicarious liability?
Working from home can limit an employer’s ability to supervise employees, raising fairness issues regarding liability.
What is a fault-based liability model, and how does vicarious liability contradict it?
Vicarious liability is fault-based only in the sense that employers are liable for employees’ actions despite having taken all reasonable steps, which can be considered unfair.
Discuss the fairness of vicarious liability for employers in cases of employee misconduct.
Vicarious liability can be seen as unfair as it holds employers responsible regardless of their efforts to supervise or manage employees.
What is the impact of insurance premiums on vicarious liability claims?
High insurance premiums may incentivize claimants to pursue liability claims, as employers are perceived to have deeper pockets.