Liability

Mila’s employment doesn’t end with her last delivery. Surely, the journey back to the garage must be part of ‘in the course of her employment’ and thus I suggest that QuickFood will be vicariously liable together with Mila.

The question is a bit (very?) silly because QuickFood MUST have insurance cover for damage caused by their employees and their vehicles so, in practice, the insurance company would carry the liability. Insurance cover would be ‘Employer’s Liability Insurance’ and the vehicle would also be insured to cover any damage caused by that vehicle.

Now, as a further consideration, when that insurance company begins negotiations with Gareth’s insurance representatives, the parlous state of the building pre-crash would play an integral element of those negotiations.

Will Mila need to pay anything. Not a single cent (though she may lose her job as a result of her reckless driving!). Will QuickFood have to pay anything? In practice, NO. The insurers would cover the costs of settling with Gareth. Is Gareth liable for any costs? Gareth will be very fortunate to have his building restored to any sort of condition that represents an improvement to its pre-crash condition so is very likely to be out-of-pocket as a result of this incident.

I imagine that the printed solution is option B.

OK?