Beckwith still smells
In Yim v. J's Fashion Accessories, Inc., where J's Fashion sued Yim for failing to pay for goods he bought under the name Ho Tae and Yim denied liability on the grounds that he had been acting as an agent for Hosung Enterprise, Inc which also did business under the name Ho Tae, the courts held that:
Yim was liable because he never disclosed Hosung Enterprise, Inc. as the principal
Carla agrees to try to sell Frank's prize dog Spike for him. Carla does this as a favor to Frank because she knows many professional dog breeders. Carla may be best described as:
a gratuitous agent
Lisa works for Sally. Lisa's jobs include selling the folk-art Santa Claus statutes that Sally hand-makes, as well as purchasing the wood for the statutes. In this case Lisa is:
a servant and an agent
An agent is trying to sell a house for $100,000 for her principal. The principal will sell the house for as little as $80,000, but wants to get as much as possible. The agent tells her cousin to offer $81,000. The agent's actions are:
a violation of the duty of loyalty
Employment-at-will:
a, b and c allows employees to quit their jobs for any reason at any time allows employers to discharge employees for any reason at any time subject to contract obligations has been restricted by the courts or legislatures in some states that recognize some public policy limitations on the employer's right to fire an employee
An employment of an agent for the purpose of representation in establishing relations between a principal and third parties is known as a(n):
agency relationship
Which of the following determines the scope of authority given to an agent:
all of the other specific choices are correct
Which of the following is a common problem with employee handbooks:
all of the other specific choices are correct
Operation of law provides agents with the authority to act beyond the authority granted by the principal when:
an emergency exists
An agency coupled with an interest is created:
by an agent who has paid for the right to exercise authority with regard to a business
In Bearden v. Wardley Corp., where Gritton's real estate agent cheated her in a deal, the court held that Wardley, Gritton's employer, violated its ____ to Bearden:
duty of care
A UPS package sorter is an example of a(n):
employee
All employee handbooks are held to create binding contractual obligations on the part of employers who use them.
false
In Cove Management v. AFLAC, Galgano, an independent contractor who solicited insurance business for AFLAC, rented office space from Cove under AFLAC's name. When Galgano defaulted on payments, Cove sued AFLAC contending that Galgano was its agent when he rented the office, so AFLAC was liable. The appeals court held that AFLAC was liable as it had given Galgano apparent authority to make the lease.
false
In Guz v. Bechtel National, where Guz was fired after many years of good work at Bechtel, the California supreme court held that his dismissal breached an implied contract to be terminated only for cause.
false
Principals are liable for all torts committed by their agents.
false
A person authorized to execute all regular transactions connected with a business is called a:
general agent
If a contractor does not have authority to enter into contracts for the principal then:
he is not an agent
Geary was an employee of U.S. Steel. His concerns about the safety of a new product were ignored by his superior. He went to higher management to let them know of the problem. The product was withdrawn from the market, but Geary was fired by his superior. Geary sued the company for wrongful dismissal. The Pennsylvania court held that Geary:
loses because of the employment-at-will doctrine
The duty of ____ requires an agent to place the principal's interests before the agent's personal interests or those of any third party:
loyalty
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?
no, because Jack is an independent contractor
Kurt works for Jeris. One evening Kurt decides to use the company truck to pick up his date. On his way home from the movies, after dropping his date off, Kurt runs a red light and smashes into Bob. Is Jeris liable to Bob?
no, because Kurt was acting outside the scope of his employment
A disclosed principal is a principal whose identity is:
none of the other choices
Terry hires an agent, Janet, to sell a piece of property for no less than $50,000 with Janet to receive a 6% commission upon sale. Which of the following is Janet legally permitted to do without Terry's consent?
none of the other choices
You hire an agent to sell your house for you. Typically, such an agent receives a fee only if they actually sell the house. This person is most likely:
none of the other choices
A(n) ____ is one whose identity is known by the third party at the time a contract is entered into with an agent.
none of the other choices are correct
Scott is an agent for Lee and his duties require him to fly to Chicago from Cleveland. Scott gets up late and misses his flight to Chicago so he has to buy a second plane ticket. As principal, Lee:
none of the other choices are correct
If an agent claims to have authority but in fact has none, the principal is:
not responsible for the agent's dealings with third parties who have no reason to think the agent has authority
For an agent to be a fiduciary means to:
occupy a position of trust, honesty, and confidence with respect to the principal
An agency is created when an agent agrees to act for, or in place of, the:
principal
Through an agency relationship, the agent becomes a representative of the:
principal
A(n) ____ relationship is one in which an agent acts on behalf of or for the principal, with a degree of personal discretion.
principal-agent
When liability is imposed on an employer for a tort committed by an employee, the liability is based on the rule of law known as:
respondeat superior
The duty of an agent to perform responsibilities with the degree of care that a reasonable person would exercise under the circumstances is:
the duty of reasonable care
A principal held responsible for the torts of an agent is said to have vicarious liability.
true
An employer could be liable for acts of an employee based on negligent hiring.
true
An employer should be cautious about hiring persons with criminal backgrounds that mean they could pose a threat to others as the employer could be liable for unauthorized torts that occurred on the job.
true
An express contract for certain terms of employment can restrict employment at-will.
true
If an agent commits a tort outside the agent's scope of employment, the agent is liable to the third party for damages incurred.
true
Some state courts hold that employment contracts contain implied covenants of good faith and fair dealing.
true
