Question

Given below is the statement of Legal principle followed by a factual situation. Apply the principle to the facts given below and select the most appropriate answer.
LEGAL PRINCIPLE: ln the employer-employee relationship, the employer is held liable for all the wrongs committed by his employees in the course of employment.
FACTUAL SITUATION: David was employed as a Driver in ABC & Co over the past 15 years and has been appreciated by the General Manager for his hard work and sincerity. He has been rewarded by the company for his accident-free record. David's younger brother wanted to join the same company as a driver. He obtained a Learner's Licence, joined a Driving School and was learning driving during the last three months. He was on the verge of completion of the training and appear for the Driving test. He wanted to have more practice before the test and requested his brother David for using the Company's car for two days. David also allowed him to use the office car for the practice. While he was practicing driving, a truck came from the wrong side, hit the company's car driven by David's brother, which in turn hit a pedestrian and injured him. The pedestrian sues the company for damages.
DECISION:

विकल्प

• The Company is not liable as it was driven by David's brother

• The Company is liable as David allowed his brother to drive the car

• David's brother is personally liable

• The Company can shift the responsibility on to the truck driver

Answer 1

The Company is liable as David allowed his brother to drive the car

Explanation:

The company is liable as David allowed his brother to drive the car.   
The car belonged to the Company and David was the  Company-employee. David allowed his brother to drive the Company car. David being the employe makes the  Company liable as the Company (employer) is responsible for all the wrongs (accident) committed by David  (employee) during the course of employment (driving the company car).