Which Of The Following Is Not True About Agents And Agency Agreements

With the exception of express termination (by agreement of both or at the request of a company) or necessary or reasonable conclusions that can be drawn from their agreements, legal agencies are extinguished in certain circumstances. The most common termination by law enforcement is the death of a sponsor or agent. The death of an agent also terminates the authority of the sub-agents he has appointed, unless the client has expressly consented to the continuation of his appointment. If the agent or client loses the ability to establish an agency relationship, he or she is also suspended or terminated. The Agency ends if its purpose becomes illegal. Many agreements contain certain circumstances whose appearance indicates the end of the Agency. The most obvious of these circumstances is the expiry of a certain period (“Agency ending at the end of three months” or “at midnight on December 31”). An agreement may also be terminated when performing a particular deed (“in the event of the sale of the house”) or after a particular event (“at the end of the last horse race”). However, the law allows for “under-involving” authority by the relationship between the parties, the nature and uses of the transaction, the circumstances of the act in question, the wording of the agency contract and the agent`s knowledge of the means of reflection relevant to the assignment. The general rule is that the agent involves an iron or “random” authority to perform actions that are incidental or reasonably necessary to complete the transaction. For example, when a client orders his agent to “deposit a cheque at the bank today,” the agent is allowed to go to the bank unless the client expressly prohibits the agent from doing so. Unlike wives, children are not presumed, in common law, as agents or extensions of the father, so parents are generally not responsible for the crimes of their children.

However, they may be held responsible for the non-control of children who are known to be dangerous. Even if the agent had no effective power and there was no apparent power invoked by the third party, the contracting power may still be held liable if it ratifies or accepts the agents` actions before the third party terminates the contract. Ratification generally refers to the period of engagement and creates based on the fact that it was originally set. Ratification is a voluntary act of the client. In view of the results of measures allegedly taken on his behalf, but without authorization and without any fault of his own, he can confirm or deny them as he wishes. For ratification, the client may notify the parties concerned or by his behaviour that he is willing to accept the results as if the act had been approved.