Liability For Company Vehicle Accidents

serious car mechanic pumping up car wheel in modern service garage

If you are in a car accident and the driver responsible for the accident is working when the accident occurs, can you sue their employer? This question often comes up and the answer depends on the specific facts of the case. At times, an employer is liable for the actions of its employee or the company itself may have acted negligently which contributed to the accident. Men and women involved in an accident with a driver operating a company vehicle should speak to an attorney to learn how to seek compensation and from whom. 

Employer Liability

At times, an employer can be held responsible for the actions of its employees. For example, the employer might be held liable when a business vehicle caused a crash. However, the injured party must first prove the driver was employed by the company, not acting as an independent contractor, and they were driving negligently at the time of the accident. Furthermore, the driver must have been operating the vehicle to benefit the company and acting within the scope of their employment. Proving these facts can be difficult, so many victims choose to work with an attorney to hold the company responsible.

Can an Employee Be Fired After Being Involved in an Accident in a Company Car? 

Yes, employees at fault for an accident in a company car may be fired for cause. They have exposed the employer to potential financial loss. However,  most employers won’t fire a person involved in a car accident that someone else caused. In many cases, they have the legal right to let the employee go, but doing so could harm their reputation and make it harder to secure top talent in the future. 

Employee or Independent Contractor?

Employers can be held accountable for the actions of their employees. Independent contractors, on the other hand, are not under the control of the employee. Therefore, the employer cannot be held responsible if an independent contractor causes an accident. However, these contractors would only drive company cars in rare exceptions. 

The Scope of Employment

Was the worker doing their job when the accident happened? If so, the employer is responsible. The courts look at whether the employer required the employee to drive at any time. They don’t have to drive for the company regularly for it to be considered within the scope of their employment. 

Benefiting the Employer

Courts also look at whether the employee was using the company car to conduct personal business. Doing errands during their lunch hour would be considered personal business. However, if the employee stops to grab something they need while dropping items off for work, they are benefiting the employer, who could then be held liable for the accident. 

Many people choose to let the insurance companies determine who should pay for an accident. At times, this might be the employer’s insurance provider or the employee’s policy. It never hurts for the victim of an accident caused by a person driving a company car to hire an attorney. The attorney works to ensure all responsible parties are held accountable for their actions. In some cases, the employer, employee, and others might be liable. For example, if the employer’s mechanic didn’t maintain the vehicle properly, they are partially to blame.

When all parties are held accountable, the victim gets a fair settlement, so consider talking to an attorney today. They will help a victim determine who to pursue compensation from and how much should be requested. Their knowledge is invaluable at this time.