Agency

Question 1

Formation

Answer 1

1. Mutual manifestation of consent that one shall act on behalf of and subject to the control of another
   - -on behalf of: primary benefit
   - –control: specify task (even if not details)
2. Capacity: A doesn’t need.
3. Consideration: not req’d.
4. Equal Dignity re SOF

Question 2

Fid Duties - Agent

Answer 2

1. Care: reas. care
2. Loyalty: P’s interests first (not benefit self, compete, act adversely, use prop for own purposes, acct for profits)
3. Obedience: obey reas. instructions

Breach = sue damages + disgorge profits + equity

Question 3

Fid Duties - Principal

Answer 3

Reimburse and Compensate

Question 4

Actual Authority

Answer 4

What A reas. thinks based on P’s words (express) or conduct/custom/acq. (implied)

• can come from title
• includes incidental tasks
• term: specified time, changed circus, A’s breach, incapacity or death of either

Question 5

Apparent Authority

Answer 5

What TP reas. thinks based on P’s words/conduct (not A’s)

• -Can come from title
• -Lingers until TP knows over
• -Ratify: affirm or accept benefits (reqs: knows all material facts + accepts entire K + no TP rights altered)

Question 6

K Liability

Answer 6

P liable for authorized K’s

-A also liable if P un or partially disclosed

Question 7

Tort Liability

Answer 7

P liable for A’s torts in scope of agency if a servant (not ind. K)

Question 8

Servant/Ind. K

Answer 8

Right of control means, not just result

Question 9

Scope of Agency

Answer 9

conduct agreed to
on the job (detour vs. frolic)
to benefit P

–Intent outside scope unless (i) force inherent to job, (ii) motivate to serve P or (iii) authorized by P

–Borrowed Servant: usually lender P liable, but control matters