Estoppel

Question 1

Under the doctrine of estoppel

Answer 1

a principal who misleads a 3rd party into believing that an agent has authority to effect a particular transaction is liable with respect to that trasaction

Question 2

With the doctrine of estoppel there is no due dillagence requirement on the 3rd party. Although, the courts often require that the 3rd party

Answer 2

justifiably rely on the agents purported authority

Question 3

A person who is not otherwise liable as a party to a transaction purported to be done on his account, is nevertheless subject to liability to the persons who have changed their positions bc of their belief that the transaction was entered into by or for him if,

Answer 3

1. he intentionally or carelessly caused such belief OR
2. knowing of such belief and that others might change their positions because of it, he did not take reasonable steps to notify of the facts

Question 4

An owner of property who represents to 3rd persons that another is th eowner of the property or who permits the others so to represent, or who realizes that 3rd persons believe that another is the owner of the property, and that he could easily inform the 3rd persons of the facts, is subject to the loss of the property if

Answer 4

the other disposes of it to 3rd persons who, in ignorance of the facts, purchase the property or otherwise change their position with refrence to it

Question 5

estoppel

change of position, as the phrase is used in the restatement of this subject, indicates

Answer 5

payment of money, expenditure of labor, suffering a loss or subjection to legal liablity

Question 6

If a 3rd part deterimentally relies, can hold a principal liable for

Answer 6

careless inaction or failing to correct known mistaken beliefs

Question 7

Principal is liable to those eho changed their position based on

Answer 7

the belief that the transaction was entered into by/for Principal if Principal intentionally/ carelesslycaused the belief or didn’t correct it

Question 8

Principal liable for representing property

Answer 8

Liable if you represent or let others represent or believe property that belongs to you belongs to another

Question 9

Principal is subject to liability to a 3rd party who justifiably is induced to make a a detrimental change
based on the belief the transaction is for the person’s account if

Answer 9

• Intentionally or carelessly cause the belief
• Didn’t provide notice of facts after knowing of the belief and potential for
  inducement

Question 10

For estoppel, careless inaction is

Answer 10

enough

Question 11

If cannot find authority use

Answer 11

estoppel: kicking and screaming
ratification: if game

Question 12

2 things needed for estoppel

Answer 12

1. careless inaction or failure to correct known mistakes
2. detrimental reliance

Question 13

Principal doesn’t want to be bound, try

Answer 13

estoppel