Agency

Questions to Consider

Consider these questions while reading this module:

• What is a principal? an agent? an independent contractor?
• What factors do the courts apply in determining whether a worker should be classified as an employee or an independent contractor? Why is this classification significant?
• How is an agency relationship created?
• What duties does a principal owe an agent? What fiduciary duties does the agent owe the principal?
• When is an agent liable for the contracts he negotiated on behalf of the principal?
• What is the difference between a fully disclosed, partially disclosed, and undisclosed agency?
• What is the significance of this distinction?
• What happens if the agent exceeds his authority?
• When is a principal liable for the negligent torts committed by an agent?
• How does the court determine if an agent is acting "within the course and scope
• What is a frolic and detour? a dual purpose mission?
• When might a principal be liable for torts committed by an agent on the way to work or the way home under the "coming and going" rule?
• When is a principal liable for the intentional torts of an agent?
• When can a principal be held liable for the torts of an independent contractor?
• How is an agency relationship terminated?