American Law Institute Endorses Novel Vicarious Liability Tort for Employee Sexual Assaults

In a controversial decision, the American Law Institute (ALI) approved a novel “Special Rule on Vicarious Liability for Sexual Assault” that endorses a new strict liability tort claim against employers for certain sexual assaults committed by employees against third parties. The ALI’s membership approved this novel tort claim at the organization’s Annual Meeting held May 19-21, 2025, as part of the Restatement of Torts, Third: Miscellaneous Provisions….
By: Shook, Hardy & Bacon L.L.P.