Exam 15: Agency

If the agent and principal are jointly and severally liable,the injured party:

Morgan is so grateful to Patrick for his work preparing insurance quotes for him that Morgan gives Patrick two tickets to an upcoming NFL game.Patrick may not keep the tickets unless he lets his agency know,and the agency may take the tickets or let Patrick keep them.

The doctrine of respondeat superior generally:

Dwayne agrees to serve as Walker's agent in booking spots for Walker's portable basketball game.Dwayne asks Walker for pictures and size specifications of the game so he can provide potential customers information they need.If Walker does not provide the pictures and size information,he is breaching a duty to Dwayne.

Lester discussed a business opportunity with Stewart and asked Stewart to sell 1,000 shares of stock Lester owned to finance Lester's investment in the venture.The next day,the bottom dropped out of the stock price,but Stewart sold the shares before Lester talked to Stewart again.Discuss the agency relationship and the effect of the unexpected drop in stock price.