Limited Liability of Vicarious Liability - A Legacy of Chaos

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In the current Indian law, vicarious liability is limited by the 'Scope of Authority Test'. This test decides whether the employer can be held liable for the actions of the employee by checking if the employee was acting within the scope of their authority. But what about situations where the employee's actions are so egregious that they can't be justified by any authority? For instance, in the case of Harishankar Bagarti v. State of UP (1963), an employee was found to be responsible for the death of a patient, but the court held the employer not liable, citing that the employee's actions were outside the scope of their authority. This provision is now outdated and makes no sense in today's corporate world, where employees can wield immense power and cause catastrophic damage. The law needs a revision to reflect the changing times and protect victims of corporate negligence.

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