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AgencyBroker LiabilityHARD

Under the doctrine of respondeat superior, a NH broker is:

Correct Answer

B) Vicariously liable for the wrongful acts of affiliated licensees performed within the scope of their employment

Under the doctrine of respondeat superior, a NH broker is vicariously liable for the wrongful acts of affiliated licensees (salespersons and associate brokers) committed within the scope of their employment or agency relationship. NH RSA 331-A holds the principal broker responsible for supervising affiliated licensees, and this supervisory duty underpins the broker's vicarious liability for their in-scope conduct.

Answer Options
A
Never liable for the actions of affiliated licensees under any circumstances
B
Vicariously liable for the wrongful acts of affiliated licensees performed within the scope of their employment
C
Liable only when the affiliated licensee was following the broker's written instructions
D
Liable only for actions that occur at the closing table

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Related Topics & Key Terms

Related Topics:

principal broker supervisionNH RSA 331-Avicarious liabilityscope of employmentindependent contractor vs. employee

Key Terms:

respondeat superiorvicarious liabilityprincipal brokerscope of employmentRSA 331-Asupervision

Related Concepts

An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.

An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.

The legal requirement for real estate agents to inform all parties about who they represent in a transaction, typically provided at first substantive contact.

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