Wheels for Hire Analysis

Wheels for Hire hired Sam Spade to work for them, therefore there is a principal – agent relationship between them. Sam acts as an agent. Under the ‘”ignition key access process”, Sam has access to the keys to the vehicles owned by Wheels for Hire. Although the process is informal, it is well established and known to the employees. This is the process that details how employees can use the cars owned by the company for business purposes, whether that reason is to move the car, clean it or what have you.

Through this ignition key access process, there is expressed authority by the principal (Wheels for Hire) that the agent (Sam Spade) will only use any company car for business purposes and act strictly on behalf of the principal. The agent acts under the principal’s control and consent. When signing out a company vehicle, Sam has a duty of performance. Sam must perform within the lawful duties expressed in the agency contract (employment) with reasonable care, skill and diligence.

Although Sam was not conducting company business, he was using company property and as such, operating under the authority of the company which makes Wheels for Hire liable for the injuries caused by Sam. Wheels for Hire and Sam are both responsible and be should found to be jointly and severally liable. Either way, the plaintiff is justified in filing a lawsuit against the dealership, Wheels for Hire.

Wheels for Hire is legally responsible for the resulting injuries and damages from the accident involving Sam. This is a direct result of the company establishing “ignition kiosk access process” (IKAP) and subsequently failing to properly monitor its activity and responsibilities.

Notwithstanding of the reason, timing, or circumstance behind Sam Spade’s trip during his lunch break, the company is still responsible for their employees’ conduct and in this case, asset use, especially under warranted systems. Sam used such a system, IKAP, to check out a company owned vehicle....