## Facts

- An employee of the Northern Ireland Transport Board was tasked with delivering petrol and transferring it from a tanker to an underground storage tank.
- During the course of this work, the employee lit a cigarette, causing an explosion and resulting in substantial property damage.
- Century Insurance, the insurer, sought to hold the Transport Board vicariously liable for the damages arising from the employee’s act.
- The Transport Board argued that the act of lighting a cigarette was a personal and unrelated indulgence outside the scope of employment.
- The act occurred while the employee was engaged in his work duties.

## Issues

1. Whether the employee’s act of lighting a cigarette during the transfer of petrol was performed within the scope of employment.
2. Whether the doctrine of vicarious liability applied to hold the employer responsible for the employee’s negligence.
3. Whether a negligent or unauthorized act sufficiently connected to employment imposes liability on the employer.

## Decision

- The House of Lords held that the act of lighting a cigarette was sufficiently connected to the employee’s duties and occurred during the performance of his work.
- The employer was held vicariously liable for the employee’s negligent act, as it was deemed incidental to the employment.
- The doctrine of vicarious liability was applied, clarifying that even unauthorized or negligent acts may fall within the scope of employment if closely connected to an employee’s duties.
- The foreseeability of the employee’s actions and the risks involved in handling flammable materials were factors in imposing liability on the employer.

## Legal Principles

- Vicarious liability holds employers liable for employees’ wrongful acts committed in the course of employment.
- The scope of employment includes not only authorized acts but also unauthorized or negligent acts that are closely or sufficiently connected to the employee’s duties.
- Employers are required to foresee and take measures against risks arising from employees’ actions carried out during the course of employment.
- The boundaries of employer responsibility are delineated by the close connection test between the wrongful act and employment duties.

## Conclusion

The decision in Century Insurance Co Ltd v Northern Ireland Transport Board [1942] AC 509 established that employers can be vicariously liable for negligent acts committed by employees during the course of employment, even if the act was unauthorized or personally motivated, provided it is sufficiently connected to the employee’s duties.
