THREAD PRACTICE SOLUTION 2026 TESTED
QUESTIONS WITH FULL ANSWERS
◉ Agents can be classified into any of the following broad categories
except: ______. Answer: principal-agents
◉ The nonagent employee relationship is referred to as the -----
Answer: master-servant relationship.
◉ In most employer-employee agent relationships, the employer
exercises: ______. Answer: substantial direction and control over the
employee-agent.
◉ An agency relationship is usually created by a(n) ______ agreement.
Answer: express
◉ The party whom the agent is acting on behalf of in an agency
relationship is the: ____. Answer: principal
◉ Identify the broad categories into which agents can be classified.
Answer: Independent contractor agents
Gratuitous agents
,Employee agents
◉ The law of agency often overlays and interacts with other areas of
the law, especially ----- and ----- Answer: contracts
torts
◉ Individual employees authorized to transact business on behalf of
the employer principal are called Blank______. Answer: employee
agents
◉ For agency purposes, a principal can be liable via a contract
obligation or through _____ liability (liability for another) in tort.
Answer: vicarious
◉ Courts use which of the following to analyze the classification of
an agent? Answer: Substance-over-form
◉ Actual authority, _____ authority, and ratification are an agent's
primary sources of power. Answer: apparent
◉ A transaction involving one party hiring another party to transact
business on behalf of the hiring party is referred to as what type of
relationship? Answer: agency
, ◉ An agency relationship is often referred to as a(n) Blank______
relationship. Answer: fiduciary
◉ Which of the following areas of law most often overlap with
agency law? Answer: Contracts and torts
◉ A(n) _____ disclosed agency relationship is where the third party is
aware of the identity of the principal and knows the agent is acting
on behalf of the principal. Answer: fully
◉ For agency purposes, a principal's liability can arise either
through a contract obligation or through _______ in tort. Answer:
vicarious liability
◉ Liability for principals of employee agents is derived from the
doctrine of: ______. Answer: respondeat superior.
◉ Before an employer will be responsible for the negligent acts of an
employee, the negligent act must have occurred: ______. Answer:
within the scope of employment.
◉ Reference checks and criminal background checks are steps
employers can take to shield themselves from the liability imposed
by the: ______. Answer: negligent hiring doctrine