Agency, authority and vicarious liability Bar Exam Flashcards - Medical Study Cards
Master Agency, authority and vicarious liability with Oncourse flashcards. These spaced repetition flashcards are designed for medical students preparing for NEET PG, USMLE Step 1, USMLE Step 2, MBBS exams, and other medical licensing examinations.
Agency, authority and vicarious liability Flashcard Deck - 10 Cards
Flashcard 1: How do an employee’s frolic and detour affect the employer’s vicarious liability?
Answer: A minor deviation from employment, or detour, generally remains within the scope of employment, while a substantial abandonment for personal purposes, or frolic, generally falls outside it. The issue is determined by the nature, extent, and duration of the deviation.
Flashcard 2: What facts establish actual authority in an agent?
Answer: Actual authority exists when the principal’s manifestations cause the agent reasonably to believe the agent is authorized to act for the principal. It may be express or implied, including authority to perform acts reasonably necessary to accomplish an expressly authorized task.
Flashcard 3: What is the principal’s liability for an agent’s intentional tort committed within the scope of employment?
Answer: The principal is liable when the employee’s intentional tort is motivated, at least in part, by a purpose to serve the employer, including acts intended to further the employer’s interests or arising from employment-related friction. Purely personal acts generally fall outside the scope, though the employer may still be directly negligent.
Flashcard 4: When is an agent personally liable on a contract made for a principal?
Answer: An agent is generally not liable on a disclosed principal’s authorized contract, but may be liable if the principal is undisclosed or partially disclosed, the agent lacked authority, or the agent agreed to be liable. A principal is bound when the agent acted with actual or apparent authority or the principal ratified the agreement.
Flashcard 5: When does an agent have apparent authority to bind the principal?
Answer: Apparent authority exists when the principal’s manifestations to a third party reasonably cause the third party to believe the agent is authorized, and the third party reasonably relies on that belief. The agent’s own statements alone generally cannot create apparent authority.
Flashcard 6: When is a principal vicariously liable for an employee’s tort?
Answer: Under respondeat superior, a principal is vicariously liable for an employee’s tort committed within the scope of employment. The employee’s conduct must generally be of the kind the employee was hired to perform, occur substantially within authorized time and space limits, and be motivated at least partly by a purpose to serve the employer.
Flashcard 7: What is the effect of an agent’s unauthorized act when the principal later ratifies it?
Answer: Ratification occurs when the principal, with knowledge of material facts, affirms or accepts the benefits of an unauthorized act, thereby treating it as authorized from the outset. The principal must ratify the entire transaction and have capacity and authority to do so.
Flashcard 8: What is an agency relationship, and what elements are required to create one?
Answer: Agency is a fiduciary relationship in which an agent acts on behalf of and subject to the principal’s control, and the agent manifests assent or otherwise consents. No particular words or formalities are required unless a statute demands them.
Flashcard 9: Is a principal vicariously liable for an independent contractor’s torts?
Answer: Under the majority rule, a principal is generally not vicariously liable for an independent contractor’s torts because the principal lacks the requisite control over the manner of work. Exceptions include inherently dangerous or nondelegable activities, negligent selection, and liability imposed by statute.
Flashcard 10: What are an agent’s core fiduciary duties to the principal?
Answer: Under the majority and Restatement rules, the agent owes duties of loyalty, care, competence, obedience, good conduct, confidentiality, and accounting, including a duty to avoid conflicts and improper profits. The agent must act within the scope of authority and in the principal’s best interests.
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