A modern basis for vicarious liability is termed the _____ theory as it assumes that the principal is better equipped to pay damages than an agent.
A) no-fault
B) ultra vires
C) deep pockets
D) entity
E) delectus personae

Question

Quizplus · Accepted Answer

The deep pockets theory is the modern basis for vicarious liability, as it presumes that the principal or employer is better equipped financially to pay damages than the agent or employee. This theory is based on the belief that the principal or employer is responsible for the actions of the agent or employee because they benefit from the relationship and should ultimately be responsible for any harm caused.

A Modern Basis for Vicarious Liability Is Termed the _____