California, United States of America
The following excerpt is from Dillon v. Suburban Motors, Inc., 166 Cal.App.3d 233, 212 Cal.Rptr. 360 (Cal. App. 1985):
Suburban urges it cannot be held liable because it no longer owned the car at the time of the accident. Assuming title passed sometime in January or February prior to the accident, as contended by Suburban, this fortuitous event would not absolve Suburban of liability. Suburban confuses vicarious ownership liability for the negligent conduct of a driver and direct liability for negligent entrustment. In negligent entrustment, the defendant is not charged vicariously with the negligence of the driver but is charged directly with his own negligence in entrusting the car to one whom he knew or should have known created an unreasonable risk of harm to others. (Syah v. Johnson, supra, 247 Cal.App.2d at p. 539, 55 Cal.Rptr. 741.)
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