Exam 30: Liability of Principals, Agents, and Independent Contractors

Gem's principal asked her to pick up his dry-cleaning on her way to work.After she had picked up the dry-cleaning and while driving to work, Gem knocked over an old man crossing the street as she did not apply the brakes in time.Under the theory of ________, Gem's principal is liable to the injured man.

Agents can compete with the principal during the course of the agency if the principal agrees.

Which of the following is an instance of misuse of confidential information?

________ is a situation in which an agent does something during the course of his or her employment to further his or her own interests rather than the principal's.

An agent does not violate his or her duty of loyalty by serving two parties with the same interest.

In a fully-disclosed agency, the contract is between ________.

The agent is not liable on the contract in a fully disclosed agency.

Which of the following is true of a fully disclosed agency?

________ 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.

Undisclosed agencies are not lawful in the United States.

Why can an agent not take an opportunity meant for the principal? When is an agent permitted to take such an opportunity? Give an illustration depicting an agent's violation of his or her duty of loyalty.

Which of the following is a course of action for a principal if an agent is found competing with him or her?

Based on the doctrine of respondeat superior, principals are liable for the negligent conduct of agents acting within the scope of their employment.

Which of the following best describes a partially disclosed agency?

A car salesperson is employed to sell the principal's car, and the principal tells the agent that the car was repaired after it was involved in a major accident.If the agent intentionally tells the buyer that the car was never involved in an accident, the agent has committed the tort of ________.

________ occurs where a principal is liable for an agent's tortious conduct because of the employment contract between the principal and agent, not because the principal was personally at fault.

If an independent contractor enters into a contract with a third party on behalf of the principal without express or implied authority from the principal to do so, who among the following is liable on the contract?

Which of the following is true of tort liability for principals and agents?

A fully disclosed agency results if a third party entering into a contract knows the actual identity of the principal.

Principals do not control the means by which independent contractors achieve results.