Manuel was the Alberta sales manager employed by Vulcan Co which produces and sells gas- burning fireplaces. Manuel was responsible for all aspects of Vulcan's business in Alberta. He determined how the business of the corporation was to be carried on. Manuel was negligent in installing a fireplace and the customer's house burned down. Which of the following best describes the liability of Vulcan based on these facts?
A) Vulcan is not liable because the loss would be covered by insurance.
B) Vulcan is both vicariously and directly liable.
C) Vulcan is not liable because it did not authorize Manuel to be negligent.
D) Vulcan is directly liable because Manuel was the directing mind and will of Vulcan in Alberta.
E) Vulcan is vicariously liable because Manuel was acting within the course of his employment.
Correct Answer:
Verified
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