Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
18 Cards in this Set
- Front
- Back
|
What will a principal be liable for torts of an agent?
|
1) Principal-agent relationship exists
2) Tort committed within scope of relationship |
|
|
What are requirements for a Principal-Agent Relationship?
|
ABC
1) Assent -- agreement between P & A 2) Benefit -- Agent acts to benefit P 3) Control -- Principal must have RIGHT to control A plus POWER to supervise performance |
|
|
When will person who hires independent contractor be responsible for their torts?
|
1) Ultra-Hazardous Activity
2) Estopped from claiming IC status -- you hold IC as agent |
|
|
What factors are to be considered in determining SCOPE of P-A relationship?
|
1) Conduct OF THE KIND agent was to perform (job descriptoin)
2) Did tort occur on the job? (A frolic or a detour?) 3) Did Agent intend to benefit the P? |
|
|
What's the difference between a frolic and a detour?
|
Frolic = new, independent journey
Detour = mere departure from assigned task |
|
|
What will principal be responsible for agent's intentional torts?
|
1) Authorized by P
2) NATURAL from the employment 3) Motivated by desire to serve principal |
|
|
When will principal be liable for agent entering into a contract?
|
If the principal AUTHORIZED the agent to enter the contract
|
|
|
What are the four types of authority an agent can have to enter a contract?
|
1) Actual Authority
2) Actual implied Authority 3) Apparent Authority 4) Ratification by Principal |
|
|
What does the equal dignities doctrine mean?
|
Authorization to enter contract must be in writing if underlying contract must be in writing
|
|
|
How is express authority revoked?
|
1) Unilateral act by P or A
2) Death or incapacity of principal (unless agent has durable power of attorney) |
|
|
What is actual implied authority?
|
When agent reasonably believes the principal has given her authority
|
|
|
What are three circumstances when agent will have actual implied authority?
|
1) Necessity -- takes which are NECESSARY to complete assigned task
2) CUSTOM -- customarily performed by person of title/position 3) PRIOR DEALINGS -- prior acquiescence of the principal |
|
|
What is apparent authority?
|
1) Principal cloaked agent with appearance of authority
2) third party reasonably relies on appearance of authority |
|
|
When are likely examples of apparent authority?
|
1) Secret Limiting Instruction to agent
2) Lingering Authority (e.g. agent keeps working after fired) |
|
|
What are requirements of Ratification?
|
1) P has KNOWLEDGE of ALL MATERIAL FACTS regarding contract
2) Principal accepts BENEFITS of k 3) Complete ratification (no altering terms) |
|
|
Who is liable for a breach of contract in a principal-agent relationship?
|
1) No authority -- agent only
2) Authority -- Principal only UNLESS principal is undisclosed then agent can be liable as well |
|
|
What duties to an agent owe a principal?
|
1) Duty of reasonable care
2) Duty to obey reasonable instructions 3) Duty of Loyalty |
|
|
What are damages for breach of loyalty?
|
1) Losses caused by breach +
2) Disgorge the profits made by breaching agent |
