Agency

Question 1

vicarious liability

Answer 1

there is a principal/agent relationship

• assent (agreement)
• benefit
• control (principal must be able to control agent or else independent agent)

tort must have been committed by agent within the scope of relationship

• frolic: outside the scope (not liable)
• detour: inside the scope (liable)

Question 2

2 exceptions

Answer 2

if ultra hazardous activity is involved

estopel situation: if someone is held out and represent them to be your agent then you are stuck with them (estopped)

Question 3

intentional torts

Answer 3

employer generally not liable

exception: when committing intentional tort is part of job then liable

Question 4

liability of principal for CONTRACTS entered into by agent

Answer 4

liable if:

• principal/agent relationship exists
• principal authorized agent to enter contract

Question 5

expressed authority

Answer 5

written/oral statement from principal to agent giving authority to enter contract

Question 6

implied authority

Answer 6

authority conferred by circumstances or title given to someone

when owner of company uses titles, all responsibilities come with title

Question 7

apparent authority

Answer 7

situation where principal cloaks agent with authority and third party relies on appearance of that authority

someone doesnt have authority, performs task anyway because buyer relies on person even though boss isnt there

Question 8

duties agent owes to principal

Answer 8

duty of care, duty to obey and duty of loyalty

• duty to exercise reasonable care
• duty to obey instruction
• find best spot, give second best to principal, keep best = breaking loyalty