Mohamud v W M Morrison, [2016] AC 677

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Thomas is employed as the lead customer service associate at a large electronics store, Tech Universe. He is responsible for supervising the sales floor, interacting with customers, and ensuring store policies are followed. One day, a customer, Gina, attempts to return an item without a receipt, leading to a tense exchange. Thomas becomes verbally aggressive, using offensive language, and shoves Gina. Gina subsequently files a claim of assault against Tech Universe, asserting that the store is vicariously liable for Thomas’s conduct.


Which of the following statements best reflects how a court would likely apply the 'close connection' test to determine vicarious liability in this situation?

Introduction

Vicarious liability, a legal doctrine, establishes that an employer can be held responsible for the wrongful actions of their employee. This liability arises when a tort, a civil wrong, is committed by an employee during the course of their employment. The core principle rests on the notion that the employer, who benefits from the activities of their employees, should also bear the responsibility for the risks associated with their actions. To determine vicarious liability, courts generally employ a two-stage test: first, identifying the field of activities assigned to the employee by the employer, and second, establishing if there is a sufficient connection between that field of activities and the tortious act. These requirements are applied to determine if the employer should be held legally responsible. This principle is particularly important to evaluate responsibility in many workplace situations. The 2016 case of Mohamud v W M Morrison Supermarkets PLC is a landmark judgment in this area.

The Facts of Mohamud v W M Morrison Supermarkets PLC

The case of Mohamud v W M Morrison Supermarkets PLC [2016] AC 677 centered around a violent assault perpetrated by a Morrisons employee, Mr Khan, against a customer, Mr Mohamud. Mr Mohamud visited a Morrisons petrol station and inquired about printing a document. Following a heated verbal exchange, Mr Khan, a customer service assistant, became abusive, using racial slurs and then physically attacked Mr Mohamud. This assault occurred inside the petrol station's kiosk. The legal issue presented to the court concerned whether Morrisons, as the employer of Mr Khan, should be held vicariously liable for his actions. The question of establishing a sufficient connection between an employee's duties and an act of violence was central to the proceedings and subsequent judgment. The lower court held that Morrison was not vicariously liable for the assault, as Mr. Kahn’s conduct was an independent, personal act, and not within his field of employment. The Court of Appeal upheld this decision. Mr. Mohamud appealed to the Supreme Court.

The Supreme Court's Reasoning and Judgment

The Supreme Court, in its ruling, overturned the prior judgments. It established that Morrisons was, indeed, vicariously liable for the actions of Mr. Khan. The court, led by Lord Toulson, thoroughly examined the two-stage test for vicarious liability. First, it clarified Mr. Khan's field of activities. The court recognized that Mr. Khan's role included attending to customers, responding to their queries, and maintaining the overall order of the kiosk area. His job function was to serve customers. Secondly, the court explored the connection between these work-related duties and the assault. It decided there was a close connection between the job duties and the assault. It was not just that they occurred at the same time, but the assault occurred as an interaction with a customer. The interaction was connected to his job. Lord Toulson concluded there was an "unbroken sequence of events" that linked the initial customer service interaction to the subsequent violent act. This was considered a “seamless episode”.

The Supreme Court placed significant emphasis on the fact that Mr. Khan's wrongful actions happened while he was supposedly engaged in fulfilling his job responsibilities. It was not considered a personal attack. The court clarified that the question is not whether the employee's conduct was authorized, but whether it was sufficiently connected to the employment. Crucially, the fact that the employee's conduct constituted a criminal offense did not negate the employer's vicarious liability. The Supreme Court, therefore, ruled that Morrisons was liable for the assault.

Implications and the 'Close Connection' Test

The judgment in Mohamud v W M Morrison Supermarkets PLC significantly impacted the understanding of vicarious liability and the 'close connection' test. This test asks if the employee’s tortious act is so closely connected with their employment that it is considered just for the employer to be held liable. The decision emphasized the need to examine the context of the events and whether the employee was misusing the position granted by the employer. The court's reasoning moved away from a narrow focus on the specific authorized tasks of an employee. It encouraged a broader assessment of the relationship between the employee's role and their wrongful conduct. This was to prevent employers from being able to argue that acts of violence were outside the scope of employment as they were not specifically authorised.

The Mohamud decision clarified the legal standard of vicarious liability, establishing that an employer could be held responsible for an employee's actions even if these actions were not part of their explicit duties. The crucial aspect is the relationship between the field of activities entrusted to the employee and the wrongful conduct, that is if there is a close connection between the duties and the act. The decision raised questions about the extent of an employer's responsibility for the actions of their employees. The close connection test was explored and it clarified how to apply it. This case was a major development in vicarious liability case law.

The Subsequent Case of Wm Morrisons Supermarket plc v Various Claimants

The 2020 case of Wm Morrisons Supermarket plc v Various Claimants [2020] UKSC 12 presented a subsequent challenge to the boundaries of vicarious liability. In this case, an internal auditor, Skelton, leaked payroll data online out of a personal vendetta against the company. This act followed disciplinary proceedings. The claimants, who were employees whose personal information had been published, argued that Morrisons was vicariously liable. This case presented a critical question on whether an employer can be held vicariously liable for an act designed to harm the company itself.

The Supreme Court overturned the Court of Appeal's finding. It held that Morrisons was not vicariously liable for Skelton’s actions. The Supreme Court held that, contrary to its earlier reasoning in Mohamud, the motive behind the employee’s actions is a material consideration. If the employee's primary motive is to harm the employer, it is very unlikely that the employee is acting in the course of his employment. The court distinguished this case from Mohamud. In Mohamud, the employee was considered to be misusing their position. In Morrisons, the employee was acting solely for personal gain. This means the employer could not be held liable. The court made it very clear that the actions in Mohamud were in response to a customer interaction, whereas in Morrisons the conduct was solely for personal reasons. This had a major impact on the legal landscape regarding vicarious liability.

Analysis and the Impact on Vicarious Liability

The contrasting decisions in Mohamud v W M Morrison Supermarkets PLC and Wm Morrisons Supermarket plc v Various Claimants demonstrate the complex considerations that surround the doctrine of vicarious liability. Mohamud expanded the scope of employer responsibility. It emphasized the connection between the job and the employee's tortious act, whilst Wm Morrisons placed a limit on such responsibility. It emphasized that the employee must be acting within the scope of employment, rather than a personal matter. This means an employer will not be held liable if the employee is acting to harm them. The Wm Morrisons judgment brought the focus of the assessment back to the employee's motive.

Lord Reed, in Wm Morrisons, sought to interpret Lord Toulson's words in Mohamud. He stated that Lord Toulson was not referring to the time connection, but the capacity in which the employee was acting. Lord Reed argued that Lord Toulson’s comments on the irrelevance of motive were not general. Rather, that the reason for the employee's violence was unclear but he was performing his employer’s business. This has led some commentators to suggest that the Supreme Court was undermining the precedent in Mohamud. The Wm Morrisons case clarified that an employer should not be liable for acts of personal vengeance. It refined the “close connection” test by re-introducing the employee’s motives as a relevant factor. This resulted in a narrower interpretation of vicarious liability. The current legal standard requires a careful evaluation of the scope of employment and the nature of the employee’s actions. It is crucial to establish if the employee’s actions were for the employer's business.

Conclusion

The Supreme Court’s judgment in Mohamud v W M Morrison Supermarkets PLC [2016] AC 677 provided a significant precedent for vicarious liability. It expanded the scope of an employer's responsibility for employee conduct. The judgment introduced a broad interpretation of the “close connection” test. It suggested that employers are liable even for acts that are not directly authorized. This was provided the acts can be said to be within the employee's field of activities. However, this position was subsequently qualified by the ruling in Wm Morrisons Supermarket plc v Various Claimants [2020] UKSC 12. This judgment clarified that the employee's motives are relevant. It established that employers would not be held liable for acts of personal vengeance. Therefore, employers must exercise caution, while employees must be aware of the extent of their responsibility. The rulings in both cases serve to underscore the complex nature of vicarious liability. The legal framework must balance the need to protect vulnerable parties. The framework also seeks to ensure that employers are not held unjustly liable for actions that fall outside of the scope of employment. Together, these cases provide essential material for the discussion of vicarious liability.

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