What is Vicarious Liability for Car Accidents in California?

A car owner hands their keys to a friend for the day. The friend takes the car, drives to work, and causes an accident that injures another driver. Who is financially responsible? For California car accidents, vicarious liability holds the key to determining damages liability in personal injury cases.

Vicarious liability is the legal concept of attaching responsibility to a person or entity on whose behalf someone else acted with permission. When a truck driver is operating a company vehicle, they are acting on behalf of their employer, often rendering the company responsible for accidents caused by the driver. The interpretation of vicarious liability is far from simple and often requires detailed legal analysis to determine who is truly responsible. If you find yourself in an accident with vicarious liability implications, a personal injury lawyer is the best resource for understanding your options.

Knowing who to sue in an injury case involving vicarious liability can prove challenging, especially after a rideshare accident. The path to optimal recovery after a traumatic accident is with a personal injury lawyer fighting on your behalf. At United Citizen Law, we passionately and meticulously serve Sacramento car accident victims from all walks of life. Our clients rave about our simplification of complex legal processes, putting them at ease to focus on their recovery.

If you’ve been injured in a car accident, slip-and-fall, or dog bite incident, call United Citizen Law at (916) 800-8457 or tell us about your case on our website. We are the personal injury firm Sacramento accident victims trust to help them get back on their feet.

How Does California Define Vicarious Liability in Car Accidents?

California Vehicle Code § 17150 classifies vehicle owners as vicariously liable for damages when they give express or implied permission to another person who then causes an accident. In practical terms, this means that a car owner may be held financially responsible for an accident caused by someone else driving their car (also called a bailee). While a variety of conditions dictate who is ultimately liable and for how much, vehicle owners must be cautious about whom they permit to operate their vehicle.

When a bailee’s ordinary negligence causes an accident, vehicle owners are often liable up to the statutory caps. In California, these limits are currently set at:

• $15,000 for a single injury or death
• $30,000 for multiple injuries or deaths
• $5,000 for property damage

However, these limits do not apply in cases involving willful misconduct or gross negligence. Read our full article on negligence to better understand when and how statutory caps can be lifted for personal injury cases.

When is the Vehicle Owner Liable?

Vehicle owners may be vicariously liable in instances where their bailee-driver is at fault in an accident caused by negligence or a wrongful act. California law places increased responsibility on vehicle owners to cover the mistakes of drivers, particularly employers whose company vehicles are involved in accidents. The following conditions must be met to establish vicarious liability:

• An established relationship between the vehicle owner and the bailee-driver
• The vehicle owner’s permission for the bailee to operate the vehicle
• Damage caused by the bailee during the permitted operation of the vehicle

Because permission is a required element, vicarious liability excludes circumstances where the driver did not have permission, such as in cases of car theft. Established relationships can range from parent-child to employer-employee, but permission must be present for vicarious liability to apply.

When is the Borrowed Vehicle’s Driver Liable?

Under California law, bailee-drivers are granted significant protection from liability, even when at fault in an accident. Permissive drivers may not bear direct liability while operating another’s vehicle unless gross negligence or willful misconduct can be established. These classifications are reserved for the most consciously reckless roadway behaviors and often include:

• DUI (driving under the influence)
• Intentional contact with other vehicles or persons with intent to cause harm
• High-speed street racing

Basic driving errors, such as running traffic lights and crossing double-yellow lines, are unlikely to result in a willful misconduct classification. Willful misconduct is defined by both knowledge of the direct danger to others and a conscious disregard for that risk. When willful misconduct is established, statutory liability caps can be removed, and the driver may be held responsible for the full amount of damages. 

Vehicle owners can also face full financial liability for accident damages when they engage in independent negligence, often through negligent entrustment. Even if they are not present at the time of the accident, entrusting their vehicle to an unlicensed driver or knowingly allowing the use of a vehicle with faulty brakes could be considered negligent entrustment.

How Does Vicarious Liability Affect Personal Injury Claims?

If you’ve been injured in a car accident caused by someone other than the vehicle’s owner, your personal injury claim is heavily influenced by the nuances of the incident and bailee-owner relationship. Whether through insurance policy coverage or direct liability, vicarious liability can significantly impact how accident victims are compensated. The bailee-driver and owner may carry different insurance policies, and both can be held financially responsible. A dense forest of details lies between accident victims and the compensation they seek, which is why a personal injury law firm is essential for achieving the maximum possible recovery.

How Can a Personal Injury Lawyer Help in My Vicarious Liability Case?

Fault and liability are challenging to prove alone, even for the most determined individuals. Insurance companies specialize in minimizing liability and limiting victims’ compensation. Fortunately, personal injury firms are a victim’s key to gaining the upper hand in car accident cases. 

United Citizen Law proudly serves Sacramento communities in personal injury matters, and our happy clients have made us one of the highest-rated personal injury firms in the area. Our team will relentlessly pursue your fair compensation by uncovering every detail and building a seamless case. To help shorten your road to recovery, call us at (916) 800-8457 or share your personal injury story on our website.

Article written by Carl Roth