ostensible agency liability
Refers to certain powers granted to an agent that the public has come to
expect the agent to possess even if a principal has not actually granted such
powers. In a medical professional liability context, the ostensible agency liability
doctrine is often used to hold hospitals liable for the acts of independent
contractor physicians who work in emergency and operating rooms. There are two
reasons for this approach. First, a hospital environment creates a likelihood
that patients will look to the institution rather than the individual physicians
for care. Second, in many situations, a hospital presents a physician as its
employee.
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PLI III.E