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Torts - Cases, Principles, and Institutions Fifth Edition, 2016a

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Witt & Tani, TCPI 9. Liability without Fault?<br />

2. The Restatement approach. Judge Friendly focuses on one piece of the Restatement test<br />

for the scope of employment—the requirement that the conduct of the servant be “actuated, at<br />

least in part, by a purpose to serve the master.” Section 228(1) of The Restatement (Second) of<br />

Agency further provides that conduct is within the scope of employment only if “it is of the kind<br />

he is employed to perform” <strong>and</strong> “it occurs substantially within the authorized time <strong>and</strong> space<br />

limits.” In cases of intentional violence by one servant against another, such violence is only<br />

within the scope of employment if “the use of force is not unexpectable by the master.”<br />

RESTATEMENT (SECOND) OF AGENCY § 228(1) (1958).<br />

3. The back-story to Ira Bushey. In the district court opinion, District Judge Jack B.<br />

Weinstein took a different approach than Judge Friendly: instead of rejecting law <strong>and</strong> economics<br />

in his decision, Judge Weinstein used a “law <strong>and</strong> economics analysis” to impose liability on the<br />

United States. DAVID M. DORSEN, HENRY FRIENDLY, GREATEST JUDGE OF HIS ERA 264 (2012).<br />

Citing then-Professor Guido Calabresi, Judge Weinstein held that liability should be imposed on<br />

the employer because the employer can “obtain insurance more cheaply than those who may be<br />

injured.” Ira S. Bushey & Sons, Inc. v. United States, 276 F. Supp. 518, 530 (E.D.N.Y. 1967).<br />

On appeal, while Judge Friendly was uncharacteristically out of the office, his law clerk, a<br />

recent Yale Law School graduate named Bruce Ackerman (now a professor at Yale) drafted an<br />

opinion affirming the economic approach adopted by Judge Weinstein <strong>and</strong> drawing on the<br />

economics of his torts teacher, Guido Calabresi. As the story goes, Judge Friendly returned from<br />

the office, rewrote the opinion, <strong>and</strong> soundly rejected the Calabresian approach to imposing<br />

liability. All that remained of the substance of the law clerk’s draft was the opinion’s dismissive<br />

discussion of the economic approach the draft had taken.<br />

When later asked about Judge Friendly’s opinion, Calabresi remarked, “[The] irony is that<br />

Friendly got it right <strong>and</strong> Bruce [Ackerman] got it wrong. I cite the case as a great judge’s<br />

response to academic theory on the basis of his own experience <strong>and</strong> intuition.” DORSEN, HENRY<br />

FRIENDLY, at 266. Is that right? What is the basis on which our “deeply rooted sentiments,” as<br />

Friendly describes them, lead us to decide that the costs in question are characteristic of being an<br />

employer of seamen rather than characteristic of being a dry dock?<br />

4. Vicarious liability <strong>and</strong> tort theory. Vicarious liability is pervasive. As one recent<br />

commentator puts it, “most tort suits are filed against businesses, <strong>and</strong> most businesses . . . are sued<br />

for the acts of their employees.” See Alan Calnan, The Distorted Reality of Civil Recourse Theory,<br />

60 CLEVELAND L. REV. 159, 181 (2012). Though we have not paused to notice, the doctrine has<br />

been involved in many of the cases we have read in this book to this point. It is necessarily<br />

involved in every tort case against a corporate defendant, since corporations can only act through<br />

their agents. Virtually every products liability case is a respondeat superior case. Every municipal<br />

liability case is. Most cases arising out of economic activity seem to be vicarious liability cases,<br />

since so much economic activity is collective or group activity in one way or another.<br />

The prevalence of vicarious liability may have important implications for the basic logic<br />

of tort law. For although the field is often conceived of as a law of wrongs, vicarious liability<br />

means that many <strong>and</strong> perhaps even most tort defendants have not done anything wrong at all.<br />

484

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