Reference no: EM133410649

Questions

Agency is a fiduciary relationship between an agent and a principal.

True

False

2. For the doctrine of respondeat superior to apply, a tort must be committed during the course and scope of employment.

True

False

3. Do Yoon authorizes Joon Woo to sell his house, but does not state the amount of compensation payable to Joon Woo. What amount should be paid to Joon Woo after selling Do Yoon's house?

Nothing, since agency relationships are assumed to be gratuitous unless an agreement specifies compensation.

An amount to be determined by arbitration.

A fair value for the services performed.

Ten percent of the sales price.

4. Generally, vicarious liability is applied to intentional tort cases because workers are usually hired to commit intentional torts.

True

False

5. An employer is always liable for an agent's or employee's crimes.

True

False

6. Carlos instructs his sales agent, Edgar, not to sell on credit to Andrew because Carlos has experienced problems collecting from Andrew for prior purchases. Edgar sells on credit to Andrew, who pays properly. Has Edgar violated any obligation to Carlos?

No, Edgar has not violated any obligation since Andrew paid properly.

Yes, Edgar has violated the duty to exercise reasonable judgment.

No, Edgar has not violated any obligation, since Edgar did not evaluate Andrew's credit worthiness correctly.

Yes, Edgar has violated the duty to obey all instructions of the principal.

7. An employer may be open to liability when the employer hires an independent contractor to perform a job that the law has not permitted the employer to delegate.

True

False

8. In situations with a partially disclosed principal, agents are not entitled to indemnification if they incur a loss or are damaged as a result of a request made by the principal.

True

False