Strict &vicarious Liability
Strict &vicarious Liability
Strict &vicarious Liability
The negligence standard is not the only possible basis for imposing tort liability.
Sometimes courts will hold a defendant liable even if he acted without fault (i.e.,
without intent or negligence). The liability flows not from carelessness, but from
the very choice to conduct the activity at all. Such strict liability is not
premised on fault in the conventional sense of the term, but on the policy choice
to place accident losses from the activity on the actor rather than on its victims.
The defendant, it is said, acts at her peril in conducting such activities. NO
matter how much care she takes to avoid injuries to others, she will be held
strictly liable if such injuries result. Thus, strict liability means liability
without fault.
Four major areas where strict liability is assessed are:
harm caused by animals
abnormally dangerous activity (ultra-hazardous activity)
products liability
vicarious liability
A. Harm caused by animals
Dangerous/wild animals: Owner is strictly liable for any harm that a
dangerous animal causes if (a) victim did not contribute to animals
behaviour AND (b) the harm results from the dangerous propensity which
is characteristic to this type of animal, OR the owner knew or should have
known for the animals specific propensity.
Domestic animals: The owner is strictly liable only if he knows or should
have known that his animal has dangerous propensities. First bite rule:
owner is liable for the second time that his animal bites somebody but not
the first time it bites if it never showed such a propensity to bite before.
B. Abnormally dangerous activity
There is strict liability for activities that involve an inherently substantial risk of
harm in their performance. If the defendant engages in such an activity, and
unintentionally and non-negligently causes harm to the plaintiff, the defendant is
strictly liable, subject to a few limitations which are not covered in this course.
Examples of abnormally dangerous activities are nuclear reactors, explosives
and crop spraying.
In order to determine whether an activity is abnormally dangerous or not, the
courts look at the following factors:
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Strict liability encourages those who conduct high risk enterprises to avoid costs
in the following ways:
First, the threat of liability will encourage actors to forgo these risky
activities entirely. Because it makes the actor pay for all injuries
associated with the activity, strict liability encourages her to consider
alternative ways of achieving the same goal. Thus, imposing strict liability
may lead to less high risk activity and fewer accident losses from it.
Second, because actors who conduct abnormally dangerous activities
must compensate even for blameless injuries, strict liability encourages
them to reduce the cost of accidents by taking extra precautions. Thus, the
threat of liability will make high risk activities safer, though it cannot
make them completely safe.
Finally, economic analysts (and, increasingly, courts) argue that losses
should be placed on the party who can most easily spread the costs of the
enterprise by adding the costs of compensation for accidents resulting
from the activity to the price of the product. This policy also supports
strict liability for abnormally dangerous activities.
DEFENSES
Plaintiffs contributory negligence is not a defense for the defendant. The
reason is the policy of the law that places the full responsibility for
preventing the harm resulting from abnormally dangerous activities upon
the person who has subjected others to the abnormal risk. Other
authorities suggest that, since strict liability is not based on negligence,
plaintiffs negligence should not be relevant either.
Assumption of risk: If the plaintiff unreasonably exposed himself to the
risk, fully aware of its existence, then defendant will not be liable.
Cases as illustration: Rylands v. Fletcher, 3 H.L. 330 (1868)
C. Products Liability
Products liability refers to the liability of a seller/manufacturer of a product that
causes damages to the buyer, user or even a bystander, because it was
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defectively made. To recover damages, a plaintiff may sue under the following
three theories:
negligence
warranty
strict products liability
1. Negligence: A plaintiff can use ordinary negligence principles (duty, breach,
causation, damages, standard of care, etc...) to hold the manufacturer liable for a
defective product.
Manufacturers duty of care: P can sue the manufacturer in negligence if
manufacturer failed to properly ensure that:
Product is designed in a reasonably safe way
Products must be reasonably tested/inspected
Products must be packaged and shipped with reasonable safety
Manufacturer has to use reasonably competent component manufacturers
Retailers: It is extremely difficult to hold the retailer of a product liable under a
negligence theory. Usually retailers do not have duty to inspect the products they
sell. However, a retailer who knows or should have known that a product was
unreasonably defective has a duty to warn. NOTE: Car dealers must inspect in
some jurisdictions.
Bystanders: They may be able to sue a manufacturer if they can show that they
were foreseeable plaintiffs.
2. Warranty: Where the defendant (manufacturer) was not negligent, plaintiff
can still recover damages, if he can show that the seller made representations or
warranties as to the quality of the product which prove to be false.
3. Strict Products Liability: A manufacturer is strictly liable if an item it places
on the market which is defective causes injury to others. The policy reasons for
holding a manufacturer of a defective product strictly liable (regardless of fault)
include:
The manufacturer is in a better position to anticipate and avoid defects.
Loss spreading: The manufacturer can spread the costs better by charging
all of its customers a little more and using the money to compensate the
plaintiff.
Encourage research: Holding manufacturer liable will give them incentive
to develop safer products.
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D. Family Relationships
Parents are usually not vicariously liable for the negligence of their child.
Exceptions:
Parent was negligent
Child was acting as a family agent
Statutes which make parents liable for their childrens negligence.