When the principal is negligent in the hiring and/or supervision of the agent,the principal may be liable under:

Question

Quizplus · Accepted Answer

Under direct liability the principal basically is liable because of its own tort.It frequently occurs when the principal is negligent in the hiring and/or the supervision of the agent.Principals who fail to conduct thorough background checks or are remiss in supervising their agent's behavior are susceptible to direct liability when their agents commit torts or crimes.

When the Principal Is Negligent in the Hiring And/or Supervision