Question

Milhouse is a franchisee of Krusty Burger, LLC Their contract gives Krusty Burger the right to control virtually all aspects of Milhouse’s op­eration, including the hiring of employees. One of the employees, Nelson commits a tort against Ralph, one of Milhouse’s customers. Ralph files a suit against Krusty Burger. Krusty Burger is most likely

Answer 1

risks liability under the doctrine of respondeat superior.

Step-by-step explanation:

A franchise is a seperate business that uses the parent business brand.

The parent company can give in addition to the brand support in training, provision of some inventory, hiring, and so on.

According to the contract signed between them Krusty burger controls all aspects of the Milhouse operations, so they are a respondeat superior.

This means they are responsible for the actions of Milhouse because of their level of involvement in the franchise operations.

In the given scenario Nelson commits a tort against Ralph, one of Milhouse’s customers. Ralph files a suit against Krusty Burger.

Krusty burger will be liable because they are a respondeat superior