Chap. 40

Question 0

Principal

Answer 0

Person whom an action is to be taken

Question 1

Agent

Answer 1

One party agrees to act on behalf of and under control of another

Question 2

Power of attorney

Answer 2

Written instrument by which one person authorizes another to act as her agent

Question 3

General agent

Answer 3

Authorized to conduct a series of transactions involving a continuity of service

Question 4

Special agent

Answer 4

Conducts a single transaction or series of transactions not involving continuity of service

Question 5

Master

Answer 5

A principal who has the control of an agents physical conduct

Question 6

Servant

Answer 6

Under the masters control

Question 7

Independent contractor

Answer 7

Contracts to do something for another but whose physical conduct can’t be controlled

Question 8

Factor or commission merchant

Answer 8

Agent with control of the principals good for purpose of sale

Question 9

Del Credere agent

Answer 9

A factor that sells goods on credit and then guarantees the principal he purchase

Question 10

Duty of loyalty

Answer 10

Agent is to act solely for the benefit of the principal regarding all matters

Question 11

Authority

Answer 11

Agents power to bind and principal to a contract

Question 12

Express authority

Answer 12

Explicit oral or written statement defining the agents power

Question 13

Implied

Answer 13

Authority that is a given

Question 14

Implied warranty of authority

Answer 14

Agent who is acting without authority. Liable in damages to the third party

Question 15

Disclosed

Answer 15

If the third party knows both the agent is acting for a principal and who the principal is

Question 16

Partially disclosed

Answer 16

Principal is unknown to the third party

Question 17

Undisclosed

Answer 17

Neither the existence nor identity of the principal is known to the third party

Question 18

Election

Answer 18

Third party can told the principal or agent liable to the contract

Question 19

Apparent authority

Answer 19

Principal conduct toward third party

Principal > third party

Question 20

Secret limitation

Answer 20

Are not binding upon the third party

Question 21

Notice of a fact if….

Answer 21

1) has knowledge
2) has reason to know it exists
3) has received notification of it

Question 22

Knowledge

Answer 22

Belief In The truth of a fact or condition

Question 23

Notification

Answer 23

Formal act intended to affect relations between the notifier and the person notified

Question 24

Employment at will doctrine

Answer 24

Employer can fire at any time for any reason

Question 25

Notice by publication

Answer 25

Ad or termination in newspaper

Question 26

Power given as security

Answer 26

Powers given to an agent that are used for an agent