Texas Property and Casualty License Practice Exam

Which type of liability involves no requirement to prove negligence or fault?

1. Direct liability

2. Strict liability

3. Vicarious liability

4. Negligent liability

The correct answer is: Strict liability

Strict liability is a type of liability that does not require the injured party to prove that the defendant was negligent or at fault for causing the harm. Instead, strict liability is imposed based on the nature of the activity or the relationship between the parties involved. This means that if a person or entity engages in a certain activity that is inherently dangerous or has a high risk of causing injury—regardless of the care taken— they can be held liable for any resulting damages. Strict liability is commonly applied in cases involving defective products, where manufacturers and sellers can be liable for the harm caused by their products, even if they took reasonable care in their production and distribution processes. This concept aims to protect consumers and the public by holding those engaged in potentially hazardous activities accountable, thereby incentivizing safety and risk management. In contrast, other forms of liability often require proof of negligence or fault. For example, direct liability typically involves a party being responsible for their own negligent actions, while vicarious liability holds one party accountable for the actions of another, often in the context of employer-employee relationships, requiring some demonstration of fault or negligence. Negligent liability specifically requires that negligence is proven, which distinguishes it sharply from strict liability.