The law of torts
In general liability is the legal responsibility to pay monetary compensation.
The law of Torts or tort liability forms the basis of liability and can be defined as a civil wrong, act or omission of a person, without just cause, which caused a loss or damage to another person or their property.
A tort can be defined as a civil wrong, act or omission of a person, without just cause, which caused a loss or damages to another person or their property.
Tort law requires the at fault party to provide compensation for the loss or damages they have caused.
Negligence is the most important area of tort law as most insurance liability claims involve allegations that the at fault party acted negligently.
For a person to be deemed liable under the tort of negligence the person suffering the loss must be able to show that:
- The at fault party owed a duty of care
- The at fault party breached the duty of care
- The breach of the duty of care caused the not at fault party to suffer a loss
- The loss or damage was reasonably foreseeable