Vicarious liability rule in agency law. A principal or employer is responsible and accountable for any negligent acts of the agent or employee. Even when the agent’s specific acts were unknown to the principal when committed, the principal is accountable. Agency law promotes the point that the principal’s duty is to supervise the agent’s actions setting standards and limits on every agent. Also refer to duties of agent and principal.
Link to This DefinitionDid you find this definition of MASTER SERVANT RULE helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary