Legal Question in Business Law in California
Am I Liable and resposiable for this transaction?
I need to know if I am liable. I recently worked for a company that has moved to another state when they moved I opted to find a new job locally without moving. A customer I had while I was empolyeed there purchased two vehicles from us. The company was unable to complete his order and offered him a refund. I have been told by the company that I worked for he is refusing the refund. However he is holding me resposiable and liable for the transaction and is causing problems for me. He has been showing up at my home and making threats to myself. I have documents from my old company showing them offering him a refund and doing everything in there power to please this person. I just don't know where I should go from here and if I am truly resposiable or liable for his transaction? Thank You for your time.
5 Answers from Attorneys
Re: Am I Liable and resposiable for this transaction?
Unless you took personal responsibility for the transaction -- i.e. the vehicles were registered to you -- then you're not liable. Tell him to leave you alone. If he doesn't, you might want to get a restraining order against him for harassment.
Re: Am I Liable and resposiable for this transaction?
I agree with Mr. Cohen. Unless there is something unusual about the case which you did not mention, you are not responsible and the customer has no recourse against you. Principals are genrally responsible for the actions of their agents, but agents are not responsible for the actions of their principals.
Re: Am I Liable and resposiable for this transaction?
I have read the other attorney responses. I agree with them in part. Yes your employer is liable for your actions under the docrine of respondeat superior. However, that would not prevent a disgruntled person from suing you for fraud, breach of contract, etc.
If this person were to sue you, you would then have to sue your former employer in a cross-complaint for indemnity. In the end, you may not be liable, but you could still be sued, and you would still have to answer the complaint or face a default judgment.
I regulary do cases like this all the time, and we do in fact sue every possible plaintiff. I also defend cases like this too.
In a scenario where you are alleged to have intentionally acted outside the scope and course of your employment, you could be held liable under certain circumstances.
In a nutshell, you could be sued, and you could be held liable under cirtain circumstances.
Without knowing more, that is the advice I am going to give you.
With respect to the disgruntled customer, I would direct him to your former employer, and ask that he cease and desist contacting you. If the customer refuses to leave you alone, then go for a restraining order. I would also contact your former employer to appraise them of the situation and ask that they deal with this person directly.
Good luck!
Re: Am I Liable and resposiable for this transaction?
"Respondeat superior" is a doctrine of tort law which says the employer is liable for the torts of its employees which are comitted during the course and scope of employment. For example, if a UPS delivery truck negligently hits a pedestrian, UPS is liable (as well as the driver). Unless fraud is present here, I do not see tort law being applicable. The question raises issues of contract and agency law.
Under the law of agency, the principal is bound by the acts of the agent, provided the agent has disclosed his principal and is acting within the course and scope of the agency. For example, if John Doe is a salesman for XYZ Motors, when Doe sells a car to Sam Spade, the contract thus created is between XYZ and Spade. Spade could recover from XYZ for breach of contract such as failure to honor a return privilege. Spade could also sue Doe, but would be unsuccessful (because Doe has a defense that he was merely the agent of XYZ) unless: (1) Doe didn't disclose that he worked for XYZ and not himself; (2) This was outside the 'course and scope' of employment, e.g. Doe was moonlighting for ABC Motors or was selling his personal vehicle; or (3) Doe committed a tort upon Spade, such as fraud or assault.
Re: Am I Liable and resposiable for this transaction?
Employees are not liable for their company's debts or problems. Call the police if anyone is harassing or threatening you. If the person sues you, contact an attorney.