Legum | Quiz on Creation of Agency

1. Per Lord Denning in Hely-Hutchinson v Brayhead Ltd, ................................. when it is inferred from the conduct of the parties and the circumstances of the case.

an agent's authority is inferred

actual authority is implied

express authority is existent

implied authority is actual

2. Under which of the following circumstances will an agent's authority be said to be implied actual authority

When the principal represents to third parties that the agent has authority to act on his behalf.

When the agent does acts incidental to the attainment of the principal's express instructions.

When the agent acts to protect some proprietary interests of the principal in the absence of contrary instructions and without the possibility of communicating with the principal

When the principal expressly tells the agent what to do

3. Under the law of agency, the ratification of an agent's unauthorized acts has a retrospective effect. Which of the following cases establishes/upholds this principle?

Kelner v Baxter

Keighley, Maxsted & Co v Durant

Bolton Partners v Lambert

Brook v Hook

4. In which of the following cases was a principal estopped from denying liability for the acts of an agent after the principal had represented to third parties that the agent had authority to act on behalf of the principal?

Commodore v Fruit Supply (Ghana) Ltd

China Pacific S.A. v Food Corporation of India (Winson)

Attorney General for Ceylon v Silva

5. For an agency by necessity or operation of law to exists, it must be impossible to communicate with the principal. Which of the following cases is the best authority for this principle?

F v West Berkshire Health Authority

China Pacific S.A. v Food Corporation of India (Winson)

Springer v Great Western Railway Company

Panorama Developments (Guildford) Ltd v Fidelis Furnishing Fabrics Ltd

6. In which of the following cases was it stated that "It is trite law that an agent cannot ordinarily confer ostensible authority on himself. He cannot pull himself up by his own shoelaces"

Commodore v Fruit Supply (Ghana) Ltd

Attorney General for Ceylon v Silva

United Bank of Kuwait v. Hammond

Armagas Ltd v Mundogas SA, The Ocean Frost

7. Actual authority may be either express actual authority or .......................

Implied actual authority

Implicit actual authority

Ratified actual authority

Retrospective actual authority

8. Ireland v Livingston is authority for the proposition that if an agent reasonably interprets a principal's manifestations to mean one thing which the principal did not intend it to mean, the principal is bound or the agent will still be deemed to have acted within their scope of authority

True

False

9. Keighley, Maxsted & Co v Durant is authority for?

An undisclosed principal cannot ratify and a principal can only ratify acts done in his name

An undisclosed principal can ratify and a principal can ratify all acts by the agent

Void acts cannot be Ratified

The principal must exist at the time of the agent's acts

10. In which of the following cases was the agent deemed to have express actual authority to act on behalf of the principal in the way the agent eventually acted?

Hely-Hutchinson v Brayhead Ltd

Yasuda Fire and Marine Insurance Company Europe Ltd v Orion Marine Insurance Underwriters Ltd

Keighley, Maxsted & Co v Durant

E Sfeir & Co v National Insurance Company of New Zealand, Ltd Per Glyndova

11. In which of the following cases was the principle of agency by necessity upheld

China Pacific S.A. v Food Corporation of India (Winson)

Prager v Blatspiel, Stamp and Heacock Ltd

Cargo ex the "Hamburg" (1863) 2

Springer v Great Western Railway Company

12. A principal cannot ratify an act which is void ab initio.

True

False

13. Which of the following best captures the definition of ostensible or apparent authority?

apparent authority is the power held by an agent after the principal represents to the agent that he has the power to act on his behalf

apparent authority is the power held by an agent or other actor to affect a principal’s legal relations with third parties when a third party reasonably believes the actor has authority to act on behalf of the principal and that belief is traceable to the principal’s manifestations

apparent authority is the power held by an agent who appears to act in the best interest of the principal

apparent authority is the authority held by an agent who represents to third parties that he has the authority to act on behalf of the principal.

14. When an agency is formed by an agreement, the agent is deemed to have........................

Written authority

Ratified authority

Actual authority

Ostensible or apparent authority

15. Which of the following is an essential pre-requisite for an apparent authority?

The belief of the third party is traceable to the agent's actions

The agent must be granted express actual authority

The principal grants apparent authority after ratification.

The belief of the third party is traceable to the principal’s manifestations or representations

16. In which case was it held that whilst modern agencies are usually founded on a contract between the principal and the agent, there is no necessity for such a contract to exist and the consent of the agent and principal is sufficient?

Yasuda Fire and Marine Insurance Company Europe Ltd v Orion Marine Insurance Underwriters Ltd

Hely-Hutchinson v Brayhead Ltd

Freeman & Lockyer v Buckhurst Park Properties Ltd

Panorama Developments (Guildford) Ltd v Fidelis Furnishing Fabrics Ltd

Quiz on Creation of Agency

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