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PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agent
FACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?
  • a)
    The bank would not be liable because Y did not do any wrong in the course of his employment.
  • b)
    The bank would be vicariously liable because Y was the employee of the bank.
  • c)
    The bank would not be liable because Y did not do any wrong.
  • d)
    The bank would be liable because Y acted as bank’s agent.
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
PRINCIPLE: Vicarious liability is the liability of the Master or Princ...
Correct answer is A because Y has not done anything wrong regarding his duty in the bank as he was employee in that bank so the bank will not be liable... it's Y's personal matter whatever Y has done... so bank will not be involved. Because it is stated in the principle that in private matters head will not be involved.
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PRINCIPLE: Vicarious liability is the liability of the Master or Princ...
Explanation:
In this situation, the correct legal position is:
A: The bank would not be liable because Y did not do any wrong in the course of his employment.
Reasons for this:
  • According to the principle of vicarious liability, the master or principal is only liable for the torts committed by the servant or agent in the course of their employment.
  • In this case, Y misappropriated the money given by X, which is a private wrong committed by Y and not related to his employment at the bank.
  • Since Y did not commit this wrong in the course of his employment, the bank cannot be held vicariously liable for Y's actions.
Therefore, based on the principle of vicarious liability and the given facts, the bank would not be liable for Y's misappropriation of the money.
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PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer?
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PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. 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: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. 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: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer?.
Solutions for PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for CLAT. Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.
Here you can find the meaning of PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer?, a detailed solution for PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer? has been provided alongside types of PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice PRINCIPLE: Vicarious liability is the liability of the Master or Principal for the tort committed by his servant or agent, provided the tort is committed in the course of employment. The Master or Principal is not liable for private wrongs of the servant /agentFACTS: X hands over some cash money at his house to Y, who is X’s neighbour and is also cashier in a bank, to be deposited in A’s account in the bank. Instead of depositing the money, Y misappropriates it.Which of the following statements depict correct legal position in this given legal situation?a)The bank would not be liable because Y did not do any wrong in the course of his employment.b)The bank would be vicariously liable because Y was the employee of the bank.c)The bank would not be liable because Y did not do any wrong.d)The bank would be liable because Y acted as bank’s agent.Correct answer is option 'A'. Can you explain this answer? tests, examples and also practice CLAT tests.
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