Skip to main content

Vicarious Liability including State Liability

 Vicarious Liability including State Liability


Generally speaking a person is liable for his own acts but in many cases he may be held responsible for the torts committed by others. This is known as the “Vicarious Liability”, i.e., liability incurred for, or instead of, another. 

The common examples of such a liability are: liability of the principal for the tort of his agent; liability of partners for each others torts; and, liability of the master for the tort of his servant.


Liability arising out of a Special Relationship


Principal and agent:

when the principal expressly or impliedly authorises some act to be done, he is liable for such an act of the agent if the same has been done in the course of performance of his duties as an agent.

The law attaches liability to the principal for the wrongful act of his agent, on the ground that it is the principal who has selected the agent.



In case State Bank of India V. Shyama Devi, the court held that if a bank employee receives some cash and cheques from his friend, in his personal capacity without giving any proper receipt, for depositing the same with the bank, the bank cannot be made liable, if the employee misappropriates the cash and cheques.


Partners:

The relation of partners inter se is that of principal and agent, and each partner is, therefore, liable to third persons for the neglect or fraud of his fellow-partner. 

If any one of the partner commit any tort in the ordinary course of business of the firm, all the other partners in the firm are liable for that to the same extent as the guilty partner. 

The liability of each partner is joint and several.


Company and its directors: Companies are liable for torts committed by their servants in the course of their employment.

But the wrongful act complained of should be intra vires and not ultra vires (i.e., it should be within the power of the company) and should be e done for the company. Directors are personally responsible for any tort which they themselves commit or direct others to commit, although it may be for the benefit of the company.


Master and servant:

A master is liable for the torts committed by his servant while acting in the course of his employment. The servant is also liable. They are considered to be joint tort-feasors and their liability is joint and several. The master's liability arises when the following essentials are present:

  • The tort was committed by his servant;

  • The servant committed the tort while acting in the course of the employment.

The master’s liability arises only when both these conditions are satisfied.
Labels:

Comments

Post a Comment

Popular posts from this blog

Concept of constitutionalism

  Concept of constitutionalism Who Started Constitutionalism? John Locke - The English Bill of Rights is a foundational constitutional document that helped inspire the American Bill of Rights. Political theorist  John Locke  played a huge role in cementing the philosophy of constitutionalism.  Constitution is a written law which describes the structure of Government, the rules according to which the Govt. must work and the boundaries within which the Govt. must work. Constitutionalism   can be defined as the doctrine that governs the legitimacy of government action, and it implies something far more important than the idea of legality that requires official conduct to be in accordance with pre-fixed legal rules. Constitution constitution is the document that contains the basic and fundamental law of the nation, setting out the organization of the government and the principles of the society. Basic norm (or law) of the state; System of integration and organi...
Post a Comment
Read more

business tips

1. Have a clear vision for your business and strive to achieve it. 2. Hire great people and give them ownership in the company. 3. Provide excellent customer service. 4. Establish yourself as an expert in your field. 5. Develop relationships with key suppliers, customers, and partners. 6. Keep track of your finances and invest in marketing and innovation. 7. Utilize digital platforms to reach a larger audience. 8. Take calculated risks and back yourself. 9. Continuously strive to improve your products and services. 10. Make customer satisfaction your priority.
Post a Comment
Read more

Effects of Non-Registration

 Effects of Non-Registration The Companies Act, 2013 evidently highlights that the main essential for any organization to turn into a company is to get itself registered. A company cannot come into existence until it gets registered. But no such obligation has been imposed for firms by the Indian Partnership Act, 1932. If a firm is not registered it does not cease to be called as a firm, it still exists in the eyes law. Certainly, such a big advantage is not absolute but is subjected to a lot of limitations which we will study further. Non-registration of a firm simply means that the business skips the formalities of incorporation and ceases to exist in the eyes of the law. section 58 of the Indian Partnership Act, 1932 deals with the procedure of incorporation. Likewise, the meaning of non-registration is the exact opposite of registration, meaning when a firm does not go through the procedure of incorporation or start carrying on activities without getting registered. Effects of ...
Post a Comment
Read more