Advanced Business Law Final
Exam
1. what does the law
It allows one person to act on behalf of another
of agency allow?
2. what is agency law? Large body of common law that governs agency
3. what is mixed in contractor?
agency law/
4. what does a prin-
cipal-agent
relationship look like?
5. who is the principal
and what do they
do?
6. who is the agent
and what do they
do?
7. who can initiate
and agency
relationship??
8. when is a persons-
agent relationship
formed?
9. when does an
employ- er-employee
relationship exist?
10. who is an
independent
1/
75
, Advanced Business Law Final
Exam
a mixture of common law and tort law contract can appoint an agent to act on his or her behalf
-Persons who lack contractual capacity cannot appoint an
a fiduciary relationship that resulted
from the manifestation of con- sent by agent it is formed when a principal hires an agent and
one person to another that the other
gives that agent
shall act on his/her behalf.
authority to act and enter into contracts on behalf of the
they are the party who employs another to employer.
acton his/her behalf.
it exists when an employer hires an employee to person
some form of physical service for the employer.
they are the party who agrees to act on
behalf of another
the contractor is not an employee of the principal but has been
hired by the principal to perform a certain task on behalf of
-Any person who has the capacity to them
11. the principal
2/
75
, Advanced Business Law Final
Exam
who can authorize inde-
pendent contractors
to enter into
contracts
it occurs when a principal and an agent expressly agree to enter into
12. when does an an agency agreement with eachother.
express agency
occur?
13. can an express agency be yes UNLESS the statute of frauds says it has to be in
writing.
oral or written?
14. what happens if a the principal cannot employ any agent other than the exclusive.
prin- cipal and an
agent has an
exclusive agency
con- tract??
it occurs when a principal and an agent do NOT expressly create
15. when does an
an agency relationship but it is inferred from the conduct of the
implied agency
parties.
occur?
16. what determines the it is determined from the facts and circumstances of the situation
ex- tent of an agents
author- ity in an
implied agency?
17. when does agency by rat- it occurs when a person misrepresents himself/herself as
another's
ification occur? an agency
by ratification situation, what do they
have to do?
18. if the principal
ratifies a contract in 19. if the principal ratifies a contract in
3/
75
, Advanced Business Law Final
Exam
an agency by agent when in fact they are not AND the principal accepts (ratifies) the
contract.
they are required to perform
they are relived of any liability for misrepresentation
4/
75
Exam
1. what does the law
It allows one person to act on behalf of another
of agency allow?
2. what is agency law? Large body of common law that governs agency
3. what is mixed in contractor?
agency law/
4. what does a prin-
cipal-agent
relationship look like?
5. who is the principal
and what do they
do?
6. who is the agent
and what do they
do?
7. who can initiate
and agency
relationship??
8. when is a persons-
agent relationship
formed?
9. when does an
employ- er-employee
relationship exist?
10. who is an
independent
1/
75
, Advanced Business Law Final
Exam
a mixture of common law and tort law contract can appoint an agent to act on his or her behalf
-Persons who lack contractual capacity cannot appoint an
a fiduciary relationship that resulted
from the manifestation of con- sent by agent it is formed when a principal hires an agent and
one person to another that the other
gives that agent
shall act on his/her behalf.
authority to act and enter into contracts on behalf of the
they are the party who employs another to employer.
acton his/her behalf.
it exists when an employer hires an employee to person
some form of physical service for the employer.
they are the party who agrees to act on
behalf of another
the contractor is not an employee of the principal but has been
hired by the principal to perform a certain task on behalf of
-Any person who has the capacity to them
11. the principal
2/
75
, Advanced Business Law Final
Exam
who can authorize inde-
pendent contractors
to enter into
contracts
it occurs when a principal and an agent expressly agree to enter into
12. when does an an agency agreement with eachother.
express agency
occur?
13. can an express agency be yes UNLESS the statute of frauds says it has to be in
writing.
oral or written?
14. what happens if a the principal cannot employ any agent other than the exclusive.
prin- cipal and an
agent has an
exclusive agency
con- tract??
it occurs when a principal and an agent do NOT expressly create
15. when does an
an agency relationship but it is inferred from the conduct of the
implied agency
parties.
occur?
16. what determines the it is determined from the facts and circumstances of the situation
ex- tent of an agents
author- ity in an
implied agency?
17. when does agency by rat- it occurs when a person misrepresents himself/herself as
another's
ification occur? an agency
by ratification situation, what do they
have to do?
18. if the principal
ratifies a contract in 19. if the principal ratifies a contract in
3/
75
, Advanced Business Law Final
Exam
an agency by agent when in fact they are not AND the principal accepts (ratifies) the
contract.
they are required to perform
they are relived of any liability for misrepresentation
4/
75
