Exam 14: Agency and the Employment Relationship

The two general classifications of authority an agent can possess are general authority and implied authority.

In an emergency, when someone acts on behalf of someone else in order to avoid a loss, the law may create an agency by operation of law.

Anna hires Jack to paint her house. He supplies his equipment and buys the paint for which he will be paid by Anna. One day while Jack is painting Anna invites Tom for lunch. As Tom is walking into the house Jack accidentally drops a can of paint on his head. With respect to agency law, is Anna liable for the harms Jack causes Tom?

In most states, which agencies must be in writing:

When a principal accepts the consequences of the activities of a person who had previously not been the principal's agent, the principal:

Actual authority involves powers given by the principal to the agent.

In France v. Southern Equipment, where a worker was seriously hurt on a roofing job, the courts held that the owner of the building being roofed was liable for the injuries suffered by the worker.

Legal obligations in an agency run from agent to principal, not principal to agent.

A legal document that establishes some agency relationships is known as:

Suppose a hurricane is going to hit South Florida; there are two days to prepare for it and the owner of a house is on a raft trip in Brazil and cannot be reached. The next door neighbors spend $800 on plywood and other materials to protect the house from the hurricane. Legally, this expenditure:

Principals only duty to agents is to compensate.

Principals are presumed at common law to have no duties to their agents.

The principal is under a ____ for damages to cover the agent's losses (such as from litigation) suffered while undertaking authorized transactions for the principal.

You post a notice at school that you will sell your laptop computer for $600. A buyer comes by your room to look at it while you are gone and your roommate sells it for $500, thinking you would be happy with that price, which you did not authorize.

Which of the four general factors which bear upon whether a master-servant relationship exists is determinative:

Employers may be liable for torts of employees that can be attributed to negligent hiring or supervision under the rule of law known as:

A person authorized to execute all regular transactions connected with a business is called a:

The two general classifications of authority an agent can possess are actual authority and implied authority.

A person appointed by an agent to help the agent for certain specific transactions is a special agent.

Fact Pattern 14-1 Emile owns Emile's Used Car Emporium. Several people work for him at the Emporium. When Emile is gone, he leaves one of his best salespersons, Meg, in charge. Over the years, Emile has given Meg the authority to contract with vendors, negotiate sales, and conclude car sales contracts in his name. One August, Emile takes a long vacation, leaving Meg in charge. While he is gone a hurricane hits Florida where the Emporium is located, causing severe damage. Because Emile is floating down the Amazon, Meg cannot reach him for instructions. She decides that rather than leave the place in shambles, she will hire people to repair the Emporium. Meg hires a carpenter to rebuild a wall that was blown down by the storm. Phil, the carpenter, is busy at work on his scaffold when Meg's Scottish terrier Adam, who she keeps with her at work, plows into the scaffolding while chasing a cat. Phil is knocked off the scaffold and falls ten feet to the ground, suffering a broken leg. -Refer to Fact Pattern 14-1. One day while Emile is out of the office, Josef, another sales person, enters into a contract on Emile's behalf with a local coffee vendor who stopped by to offer daily coffee service to the dealership. Emile: