Sid worked as the agent of Rosemary. Rosemary was in the business of buying antique clocks and selling them to the public. She became so successful at this that people began to become reluctant to sell to her, feeling that if she was buying the clock,
it probably could be sold for more. Rosemary instructed Sid to purchase several clocks but not to reveal that the purchases were being made on her behalf. Sid contracted to buy several clocks and gave his own check as down payment to keep Rosemary's identity concealed. Although Rosemary had authorized the contracts, she reneged on the contracts. Sid thereupon told the seller what had happened and stopped payment on the down payment check. The seller of the clocks sued Rosemary on the bounced check and for breach of contract. Sid was sued on the same causes of action. Decide all cases.
?Sid is liable on both causes of action. Regarding the breach of contract, Sid contracted in his own name and is therefore liable on the contract. Likewise, the check being his own, Sid is liable for the amount of the check as the drawer of the check.
As an undisclosed principal, Rosemary is liable for authorized contracts made by her agent Sid. She cannot, however, be sued on the check because her signature does not appear on the check and she is not referred to in any way on the check.
You might also like to view...
The media still often portray minorities and people from less developed countries in which of the following ways?
A. with equity B. as leaders C. in extremes D. as nonexistent
A challenge during the support phase of a system's life cycle is _____.
A. complying with changing business needs B. converting operations from an old system to a new system C. integrating disparate stand-alone information systems D. investigating the feasibility of a new information system
Which of the following is NOT an example of an account service fee?
a. certified check fee b. fee for returned checks c. financing fee
Answer the following statements true (T) or false (F)
1.Variable pay is compensation that depends on some measure of performance or results in order to be awarded. 2.Structural incentives reinforce performance of a single person with a reward that is significant to that person. 3.Group incentives provide reinforcement for actions of more than one individual within the organization. 4.Social talkers avoid providing their maximum effort in group settings because it is difficult to pick out individual performance. 5.In compensation, a merit raise is a lump sum, typically given once to an individual at the end of a time period.