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Discussion Post: Business Ways a Principal Relationship Can Be Created
Answer the following essay questions regarding agency creation (Ch. 29) and principal/agent liability (Ch. 30).
Question I
There are four ways a principal/agent relationship is created that are described in Chapter 29 of your textbook. They are:
• express• implied• by ratification• apparent agency
Briefly explain the requirement for each of the four in your own words.
Question II
Read the case Eco-Clean Inc. v Brown (p. 493-4 in your textbook), a case in which the court decided an agency relationship did exist. by going through each of the four ways an agency relationship is created, explain which of the four you think is the way the agency relationship between the driver of the University began to exist. Be sure to discuss all four ways in your answer.
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