Exam 18: Agency Law

If an agent reveals confidential information of a principal to a third party, the principal's course of action is to obtain an injunction against the third party.

An agent given a power of attorney is known as an attorney-in-fact.

A ________ is a deceit in which an agent makes an untrue statement that he or she knows is not true.

Martin, who wants to sell a house he owns, authorizes his concierge, Wilhelm, to find a potential buyer, and finalize a deal above a stipulated price. Wilhelm contracts Chris, a real estate broker, and intends him to only find a potential buyer and send them over to Wilhelm for the sale. Martin then contracts ReNowait Goodhouses, a home improvement company to renovate the house. ReNowait completes their work and Martin pays them. Chris then searches for a suitable buyer and finds one in George. George buys the house and Chris is paid for his services. -Who is the principal during the land sale transaction?

Which of the following is true of misrepresentation?

________ is a rule that says an employer is liable for the tortious conduct of its employees or agents while they are acting within the scope of the employer's authority.

Which of the following constitutes an agency?

Agents sometimes do things during the course of their employment to further their own interests rather than the principal's interests. This is commonly referred to as ________.

Vicarious liability is liability with fault.

Which of the following is true of dual agency?

An employee, motivated by jealousy, injures a colleague who dated her boyfriend on work premises and during work hours. Based on the ________ test, the principal is liable.

Explain in brief the liability for an independent contractor's torts.

The agency of power of attorney is an example of a(n)________ agreement.

Who is an independent contractor?

In an undisclosed agency, the principal is solely liable on the contract with the third party.

In a fully disclosed agency, an agent is not liable on the contract if he or she guarantees that the principal will perform the contract.

In a partially disclosed agency, the contracting third party transacts directly with the principal and does not know the identity of the agent.

An express agency contract cannot be orally agreed upon.

The principal is liable for the tortious conduct of an agent who is acting within the scope of his or her authority.

An agency that occurs when a principal and an agent categorically agree to enter into an agency agreement with each other is known as a(n)________.