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Principle Master will be liable for the wrongful acts of his servants in course of employment.
​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.
Decision
  • a)
    Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bank
  • b)
    Bank would not be liable because Mukesh was not an employee of the bank
  • c)
    Bank would not be liable, for the failure of Shikha to check the balance in her account
  • d)
    None of the above
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
Principle Master will be liable for the wrongful acts of his servants ...
This is not vicarious liability. It is held in case of SBI Vs Shyams Devi AIR 1978 SC 1263 and Bank would not be leable.
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Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer?
Question Description
Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer? for CLAT 2025 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CLAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer?.
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Here you can find the meaning of Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer?, a detailed solution for Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer? has been provided alongside types of Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Principle Master will be liable for the wrongful acts of his servants in course of employment.​Facts Shikha was an old widow, who opened an account with the Canara Bank, whereby she would deposit Rs 100 everyday in the bank. Mukesh was a neighbour, who used to collect the amount and deposit them in bank. Mukesh used to get a small commission from the bank for money deposited. One day it was discovered that Mukesh, who had not deposited the money for more than 3 months had vanished with the amount. Shikha filed a suit against the Canara Bank.Decisiona)Canara Bank, would be liable because Mukesh was paid commission by the bank for doing its work, so he was working as an agent of bankb)Bank would not be liable because Mukesh was not an employee of the bankc)Bank would not be liable, for the failure of Shikha to check the balance in her accountd)None of the aboveCorrect answer is option 'B'. Can you explain this answer? tests, examples and also practice CLAT tests.
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