Agency

In Oregon, what is the 'doctrine of respondeat superior' and how does it apply to real estate brokerages?

AA Latin term for 'let the seller beware'
BA doctrine holding employers (principal brokers) liable for the wrongful acts of their employees/agents (affiliated licensees) committed within the scope of their employment✓ Correct
CThe principal broker's right to review all contracts before they become binding
DOREA's authority to audit brokerage trust accounts

Explanation

Respondeat superior ('let the master answer') makes employers vicariously liable for the torts of their employees acting within the scope of their employment. In Oregon real estate, a principal broker may be liable for the negligent or wrongful acts of affiliated licensees committed while performing their licensed duties.

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