Legal Principle: A person shall be liable to compensate for the damage caused by his servant in the course of employment. Factual Situation: BHEL, a public sector undertaking in Bangalore has a contract with Bangalore Transport Service (BTS where under a few BTS buses are exclusively used to transport BHEL drivers would drive the bus, but the bus would prominently carry a board: 'Only for BHEL employees'. On a given day, the BTS bus after dropping the employees at the factory was getting back to the BTS garage so that it would be available for regular BTS services. I. was still carrying the board: 'Only for BHEL employees'. Shankar, a bystander waiting for BTS bus to go to a particular place, got into the bus and paid ' 10 to go to a place, which is on the way to garage. On the way, due to the driver's negligence, the bus met with an accident and Shankar suffered injuries.