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ARTICLE · 21 AUGUST 2017

Ivic. v. Lakovic: Vicarious Liability Is No Short-Cut To Compensation

McCarthy Tétrault
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On June 2, 2017, the Ontario Court of Appeal decided, in what it described as a case of first impression, that a taxi company was not vicariously liable for a sexual assault...

CanadaLitigation, Mediation & Arbitration

On June 2, 2017, the Ontario Court of Appeal decided, in what it described as a case of first impression, that a taxi company was not vicariously liable for a sexual assault allegedly committed by one of its employees, absent any evidence of fault on its part.

Following the Court's review and affirmation of the leading jurisprudence on vicarious liability, it is doubtful that any car passenger service company could be found liable for the independent and wrongful criminal conduct of its drivers.

Background

The Appellant was intoxicated and feeling unwell while at a party. The Appellant's friend ordered her a taxi from the Respondent company. A taxi was dispatched and arrived at the party to transport the Appellant. The Appellant subsequently alleged that she was sexually assaulted in the taxi, by the taxi driver.

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