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Stone was the agent authorized to sell stock of the Turner Company at $10 per share and was authorized in case of sale to fill in the blanks in the certificates with the name of the purchaser, the number of shares, and the date of sale.
He sold one hundred shares to Barrie, and without the knowledge or consent of the company and without reporting to the company, he indorsed the back of the certificate as follows: It is hereby agreed that Turner Company shall, at the end of three years after the date, repurchase the stock at $13 per share on thirty days' notice. Turner Company, by Stone.
After three years, demand was made on Turner Company to repurchase.
The company refused the demand and repudiated the agreement on the ground that the agent had no authority to make the agreement for repurchase. Is Turner Company liable to Barrie? Explain.
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