Question

Given below is a 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: The master/principal is liable for all acts done by his duly appointed servant/agent for all acts done by him lawfully in the course of his employment.

Factual situation: A, B, C and D carried on a business in partnership. While making a deal with another company, B bribed the clerk there. Is the partnership firm vicariously liable? DECISION:

पर्याय

• No, as bribing is not in course of employment of the partners.

• Yes, as partners are an agent of the firm.

• Yes, as B can be said to have implied authority for the same.

• No, as this act was not authorized by the others.

Answer 1

No, as bribing is not in course of employment of the partners.

Explanation:

Partnership firm is vicariously liable for the act of B under implied authority. But bribing cannot be considered as the course of his employment.