Direct liability occurs when:
A) the agent is not acting at the direction of the principal.
B) the principal is negligent in the hiring and/or the supervision of the agent.
C) the agent's criminal behavior occurs outside the scope of employment.
D) the principal has liability insurance and the agent commits a tort.

Question

Quizplus · Accepted Answer

Under direct liability the principal basically is liable because of its own tort. This may be because the principal personally directed conduct that caused the injury. It frequently occurs when the principal is negligent in the hiring and/or the supervision of the agent.

Direct Liability Occurs When