Brennen v. City of Eugene

The issue in this case is whether a municipality can be held liable in damages when its employee issues a taxicab license to an applicant who does not possess the minimum liability insurance required by city ordinance. The trial court entered a judgment on the pleadings after the court sustained defendants’ demurrer and motions to strike both counts of plaintiff’s second amended complaint and plaintiff refused to plead further. The Court of Appeals affirmed, 30 Or App 1093, 569 P2d 1083 (1977). We granted review, 281 Or 531 (1978).

Plaintiff alleged the following facts. On or about January 4,…