Is The Owner Or Driver Liable In A Car Accident?

When you’ve been involved in a car accident in Texas, insurance companies and courts typically assign fault to the driver whose actions caused the accident. Since the driver is usually the owner of the car, the process for filing insurance and obtaining compensation is straightforward for all parties.

But what if the at-fault driver was not the vehicle’s owner? Who, then, is responsible for damages incurred in the accident? Lending your vehicle to another competent driver is not illegal in Texas, but circumstances can become complicated quickly if another driver involves your car in an accident. Similarly, if you’ve been in an accident in which the other driver wasn’t the vehicle’s owner, you’ll need to understand how to obtain compensation for your damages.

Determining Legal Liability For Car Accidents in Texas

Texas law includes several definitions for legal liability in a car accident, depending on several factors, including the driver’s state, ownership of the vehicle and road conditions, among others. In most cases, vehicle owners usually bear the burden of fault, but each situation has unique characteristics that make legal responsibility a bit unclear.

Negligent Entrustment

Negligent Entrustment, in Texas, occurs when the owner of a vehicle lends an automobile or other equipment to a party known to be unfit to drive. Lack of fitness can fall into any one of several categories, such as:

• Impaired or intoxicated by drugs or alcohol, including prescription drugs.
• Incompetent due to lack of skill or physical impairments that preclude safe driving.
• Unlicensed minors or those whose permits have been revoked.
• Reckless drivers with a history of accidents or unsafe driving habits.

A valid driver’s license is generally sufficient evidence that a driver is competent unless circumstances indicate otherwise. Vehicle owners aren’t legally bound to conduct a background check of everyone who drives their cars, but situational awareness should dictate whether an owner hands off the car keys to another driver. Notably, if the vehicle was stolen, vehicle owners rarely face liability, as the law requires either express or implied consent for the owner to be held responsible.

Family Purpose Doctrine

In Texas, the Family Purpose Doctrine comes into play when a family member of the vehicle’s owner, such as a child or a spouse, causes an accident. In those cases, the car owner is liable for the accident, whether or not the family member had permission to operate the car.

Vehicle owners are assumed to have control over their vehicles as they would firearms due to the potential dangers posed by vehicle use. Under this doctrine, owners must require family members to use the vehicle responsibly at all times or to restrict its use.

Many cases of this nature involve a minor child who has caused an accident with the parent’s car. Most of the time, the parents are legally liable for any damages the accident caused. The family purpose doctrine becomes moot if the child is included in the family car insurance policy.

Vicarious Liability

Vicarious liability holds a third party aside from the driver and the vehicle owner responsible for an accident. These situations often arise when an accident involves a business vehicle. When an employee driving a business vehicle is involved in an accident, the business, as the “vehicle owner,” may be liable for damages.

Similarly, if a business permits an incompetent driver to operate automobiles or heavy equipment, the driver and the business may be liable for damages. For the business to be liable, the action or negligence must happen during the performance of employment duties.

Pursuing Legal Action After An Accident

If an accident occurs in a car driven by someone other than the owner, the owner can be held liable if the plaintiff can provide evidence of the following four points:

1. The vehicle owner provided the car to another driver or allowed them to use it.
2. The driver was unlicensed, incompetent or reckless.
3. The vehicle owner knew or should have known of the driver’s incompetence or recklessness.
4. The driver caused the accident through negligence.

If the plaintiff can provide evidence of the above, the vehicle owner’s automobile insurance applies to the victim’s damage claims. Automobile insurance is carried on the vehicle, not the driver. In other words, when you lend someone your car, you also lend them your auto insurance.

Filing Insurance Claims

Most vehicle owners maintain some personal injury coverage as part of their car insurance policy. In Texas, this coverage is called Personal Injury Protection coverage. Vehicle owners can decline PIP coverage but must do so in writing, as it’s added by default. It covers up to $10,000 of medical bills if the vehicle is in an accident, no matter who was at fault.

At-fault vehicle owners carrying only the minimum required liability insurance probably won’t receive compensation for repairs to their vehicle. Additional coverages, such as comprehensive or collision coverage, provide coverage for the vehicle. The driver’s insurer should pay for any property damage if the owner doesn’t have these coverages.

On the other hand, if the driver of the borrowed vehicle was not at fault, the owner should file a third-party claim with the at-fault driver’s insurance. These claims seek compensation for damages to the owner’s vehicle and medical bills for the driver.

Claiming Additional Damages

If the victim’s losses in an accident exceed the at-fault vehicle owner’s liability limits, plaintiffs can pursue further claims against the driver for the remaining damages. Primary insurance coverage kicks in when the victim files a claim with the car owner’s insurance and receives the required compensation. If those damages aren’t enough to cover medical bills and property damage, the victim can file with the secondary insurance, the at-fault driver’s policy.

For instance, if the victim’s medical expenses are $40,000, but the owner’s coverage limit is $30,000, the victim can claim the additional $10,000 from the driver’s auto insurance policy. That way, all responsible parties fully cover the victim’s losses.

Modified Comparative Negligence

Texas law allows accident victims to pursue legal claims, even if they are partially at fault for an accident. However, if a plaintiff’s percentage of fault is greater than 50%, they cannot recover any damages at all. This rule is called the “51%” bar.

On the other hand, if a plaintiff is found to be only partially at fault for an accident or injury, damages may be reduced by the amount of that responsibility. Put simply, if a plaintiff is found to be 10% responsible for an accident, their compensation may be reduced by 10%.

Finding Legal Support After an Accident

Accidents involving non-owner drivers increase the complexity of these calculations and require significant knowledge of the law and insurance procedures. When you’ve been in a car accident, whether you’re the owner, non-owner driver, or the other driver, contacting an experienced attorney to sort through the details is the best way to protect your interests.

If you’re in or near Mesquite, Texas, the team at Fielding Law is ready to help you navigate the complicated process of obtaining damages after a car accident. You can focus on your healing while we file the paperwork and deal with insurance companies and the legal system on your behalf.