What legal concept involves an employer's liability for the negligent actions of an employee performed in the course of employment?

Study for the CLEP Business Law Test. Engage with flashcards and multiple choice questions, each question has hints and explanations. Prepare effectively for your exam!

The correct answer is vicarious liability, which refers to a legal concept where an employer can be held liable for the negligent actions or torts committed by an employee while they are acting within the scope of their employment. This principle aims to ensure that employers are responsible for the risks associated with the activities of their employees during work-related tasks, thereby promoting accountability in the employer-employee relationship.

While respondeat superior is a specific doctrine that establishes vicarious liability in the context of employer-employee relationships, the more general term for the concept is vicarious liability. The doctrine states that an employer can be held liable for the acts of an employee if those acts are performed in the course of their job duties. Thus, it encompasses the broader principle of vicarious liability applied in the context of employment.

Negligent retention refers to an employer's failure to adequately supervise or retain an employee who is not fit for their position, while direct liability involves an employer being held responsible for their own actions or negligence, not those of an employee. These concepts do not specifically address the idea of holding an employer liable for the negligent acts committed by employees during the course of their employment.

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