Introductory Business Law CLEP Prep Practice Exam

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Prepare for the CLEP Business Law Exam with flashcards and multiple-choice questions. Each question comes with hints and explanations to help you succeed. Master the content and pass your exam!

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When an employer is held liable for a tort committed by an employee, what form of liability applies?

  1. Strict liability

  2. Vicarious liability

  3. Tort liability

  4. Negligence liability

The correct answer is: Vicarious liability

Vicarious liability is the form of liability that applies when an employer is held accountable for a tort committed by an employee. This type of liability holds the employer responsible for the actions of their employee, even if the employer did not commit the tort themselves. Strict liability, on the other hand, holds someone accountable for a tort regardless of their intention or level of care. Tort liability is a broad term that encompasses all types of liabilities related to torts, including vicarious liability. Negligence liability is a specific type of liability that requires the plaintiff to prove that the defendant's lack of care caused their injury. Therefore, B is the correct answer.