O'Banner v. McDonald’s Corp.

O'Banner (plaintiff) slipped and fell in a restroom at a McDonald's restaurant, which was actually owned and operated by a franchisee rather than McDonald's Corp. (defendant) itself. He sued McDonald's under an apparent-agency theory. The appellate court found no actual agency but held McDonald's could still be vicariously liable under apparent authority.

Whether a principal may be held liable for an apparent agent's negligence if the injured party did not rely on the apparent agency in causing the injury.