Legal Principle: Master/principal is vicariously liable for the tort committed by an servant/agent, in the performance of his duties as an servant/agent.Factual Situation: The plaintiff, a bullion merchant was arrested by the police on a charge of purchasing stolen goods. Some of the gold and silver ornaments were seized from the plaintiff and were kept in the police station custody. The duty constable appropriated the gold ornaments and escaped to a foreign country. The plaintiff after being acquitted brought an action against the State for the compensation. In this case, compensation is: (AILET 2013)Decision:

Each question consists of legal principle(s) (hereinafter referred to as 'principle') and facts. Such proposition may or may not be true in the real and legal sense, yet you have to conclusively assume them to be true for the purposes of this section. You have to apply the principles to the given facts to arrive at the most reasonable conclusion. Only one of the alternatives, i.e., (A), (B), (C), or (D) is the most reasonable conclusion. Remember: you must not rely on any principle except the principles that are given for every question.