Agency

Question 1

Agency

Answer 1

is the fiduciary relationship resulting from mutual consent by two parties, where one person acts on behalf of and subject to the control of another

Question 2

actual authority

Answer 2

an agent has actual authority if a reasonable person in the agents positions would believe that the principle has authorized him to so act

Question 3

Apparent authority

Answer 3

arises from the manifestation of a principle to a third part.

To establish apparent authority the third party must show that

(1). it was reasonable for the third party to believe that the agent was authorized to act

(2) based on what the principle said or implied

Question 4

Partially undisclosed principle

Answer 4

An agent may be liable to a third party if the third party, so long as theres no agreement otherwise, if

1.) knows the agent is acting on behalf of a principle and

2.) does not know the identity of a principle

Question 5

Fully undisclosed principle?

Answer 5

an agent acting within their scope of authority is usually liable to a third party if the principle is completely undisclosed

Question 6

Ratification (agency)

Answer 6

If an agent acted without authority the principle will still be held liable if:

1. accepts the results with the intent to ratify and
2. has full knowledge of all the material terms

Question 7

Agents torts?

Answer 7

The principle can be held vicariously liable for torts committed by an agent if

(1) there is a valid principal-agent relationship and

(2) the tort was committed within the scope of that relationship.

Question 8

Determining scope of agency (agency)

Answer 8

1. part of agents job duties
2. not during a frolic, but a detour will count
3. intended to benefit principle at all

Question 9

scope of liability for contractors agency

Answer 9

Generally no vicarious liability for independent contractors torts unless

1. Ultra hazourdous
2. non delegable
3. Negligent hiring

Question 10

pro-tip (agency)

Answer 10

1. Generally agent torts will fall outside of scope, except
2. specifically authorized
3. Part of the nature of the employment
4. Motivated by desire to serve principle