LAW 561-002 – Business Associations

Direct Liability


A principal is directly liable when its agent acts tortiously with actual authority or if the principal ratifies the conduct. R3A § 7.03, R3A § 7.04.

A principal is directly liable when it is negligent in selecting, supervising, or otherwise controlling the agent. R3A § 7.03, R3A § 7.05.

A principal is directly liable when it delegates performance of a duty to use care to protect others or their property to an agent who fails to perform the duty. R3A § 7.03, R3A § 7.05.