Define: Adverse-Agent Doctrine

Adverse-Agent Doctrine
Adverse-Agent Doctrine
Quick Summary of Adverse-Agent Doctrine

The adverse-agent doctrine states that a boss cannot be held responsible for the actions of their employee if the employee intentionally committed a wrongful act and tried to conceal it, provided the boss was unaware of the act.

Full Definition Of Adverse-Agent Doctrine

The adverse-agent doctrine is a legal principle that states that if an agent engages in fraudulent activities that are concealed as part of the fraud, the principal cannot be held accountable for the agent’s knowledge. For instance, if a company’s sales representative secretly accepts kickbacks from a supplier, the company cannot be held liable for the representative’s actions since they were acting against the company’s interests. Similarly, if a lawyer representing a client in a lawsuit engages in fraudulent activities like fabricating evidence or lying to the court, the client cannot be held responsible for the lawyer’s actions as they were acting against the client’s interests. The adverse-agent doctrine is significant as it safeguards principals from being held responsible for the actions of agents who act against their interests. It also promotes trust and delegation of authority between principals and agents, assuring that principals will not be held accountable for any fraudulent actions committed by their agents.

Adverse-Agent Doctrine FAQ'S

The Adverse-Agent Doctrine is a legal principle that holds an employer liable for the actions of its employees when they cause harm to others while acting within the scope of their employment.

Under the Adverse-Agent Doctrine, if an employee causes injury to another person while performing their job duties, the employer can be held responsible for the employee’s actions.

The scope of employment refers to the range of activities that an employee is authorized to perform on behalf of their employer. If an employee’s actions fall within this scope, the employer can be held liable for any resulting harm.

Yes, an employer can be held liable for an employee’s intentional misconduct if it occurs within the scope of employment. However, there may be certain exceptions depending on the specific circumstances of the case.

Some common defences against the Adverse-Agent Doctrine include proving that the employee’s actions were outside the scope of employment, that the employee was acting in a purely personal capacity, or that the employee’s actions were contrary to the employer’s instructions.

Typically, the Adverse-Agent Doctrine does not apply to independent contractors. However, there may be exceptions if the contractor is acting as an agent of the employer or if the employer exercises significant control over the contractor’s work.

Generally, an employer is not liable for an employee’s actions that occur outside of working hours, unless those actions are somehow related to the employee’s job or the employer has authorized or encouraged such behavior.

Yes, an employer can still be held liable for an employee’s actions even if they were not aware of the misconduct. The key factor is whether the employee’s actions occurred within the scope of employment.

Yes, an employer can be held liable for negligent hiring or supervision if it can be proven that the employer failed to exercise reasonable care in selecting or overseeing the employee, and this failure contributed to the harm caused.

In some cases, an employer may still be held liable for an employee’s actions even if they were in violation of company policies. The key factor is whether the employee’s actions occurred within the scope of employment, regardless of policy violations.

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This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.

This glossary post was last updated: 17th April 2024.

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