Agency Law Flashcards
Power of attorney
Written document authorizing one person to act as another person’s agent
Agency by estoppel
Created by words or conduct causing a third party to believe that an agency exists
Two options for purported principal if a person acts as an agent without consent or authority
Ratification
Refuse to approve
Duty to ascertain scope of authority
Third party must directly inquire to the principal or transaction is not bound
Agent’s duties to principal
Loyalty (cannot compete)
Obedience (cannot delegate)
Reasonable Care
Accounting
Information
Principal’s duties to agent
Agreed-on period of employment
Compensation
Reimbursement for expenses
Indemnity for losses
Agency terminations
Just cause
Lapse in time
Accomplishment of purpose
Revocation (by principal)
Renunciation (by agent)
Death/incapacity
Changed circumstances
Respondeat superior
Employer is vicariously liable for torts of an employee acting within the course and scope of employment
Liability of principal in torts
Negligence in hiring
Duties so important they should not be delegated
Highly dangerous activities (should ensure safety)
