Chapter 4 : Agency
4.9 ASSESSMENT QUESTIONS 1.
“The approval by act, word or conduct of that which was attempt of accomplishment, but was improperly or unauthorized performed in the first instance”. The statement above indicate an agency is created by ________. A. B. C. D.
2.
the doctrine of estoppels ratification by the principal implied appointment by the principal express appointment by the principal
Which one of the following is NOT the condition of an agency by necessity may be created. A. B. C. D.
3.
By By By By
The agent of necessity must have acted in good faith. The agent of necessity must have acted in good will. It is impossible for the agent to get the principal’s instruction. The agent’s action is necessary in circumstances, in order to prevent loss to the principal with respect to the interest committed to his charge.
Choose the BEST statements below describes the difference between express appointment and implied appointment. A. Express appointment involves the actual consent of principal, while implied appointment involves the implied consent of principal. B. Express appointment refers as the principal appoints the agent expressly either in written or in oral form, while implied appointment refers when a person by his word or conduct holds another person having authority to act for him. C. Express appointment may be in a written or oral form, while implied appointment derived from the words and conduct of parties. D. Express appointment refers as the principal appoints the agent expressly either in written or in oral form, while implied appointment refers each partner is an implied agent to the firm.
4.
Sam asked Jaya to deliver to Kedah a quantity of tomatoes from Cameron Highlands. Jaya was late in delivering the tomatoes as the lorry was trapped in a flood in Pahang. Most of the tomatoes become unfit for human consumption before reaching Kedah. In order to save what was left, Jaya sold the remaining tomatoes in Perak without communicating to Sam. Decide. A. Jaya has the authority to sell the tomatoes as agent of necessity because he tried to avoid loss to his principal. B. Jaya has no authority to sell the tomatoes as he could not prove that it was practically impossible to obtain Sam’s prior instructions. C. Jaya has authority to sell the tomatoes as agent by ratification.
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