Agency and insurance Law

Masters
Case Study
Law
Pages 5 (1255 words)
Download 0
Drew and Bev are employed by Kirk as his sales assistant in his business of selling building and decorating supplies,hence they are his agent.An agent is a person employed expressly to do any act for another or to represent another in dealing with a third party…

Introduction

Drew and Bev are employed by Kirk as his sales assistant in his business of selling building and decorating supplies and related products hence they are his agent. An agent is a person employed expressly to do any act for another or to represent another in dealing with a third party.The work of an agent is to linking the principal with a third party bringing about a contractual relation between his principal and a third party. (Saleemi, 1992)Eileen runs a large office went to Kirk firm to make a big order of 1000 potted plants. He was served by Drew, one of the sales assistant in Kirk firm. Drew informed her that the price for the potted plant was 20 per plant. Just to be sure about it, Eileen requested to confirm about the price from Kirk, his boss. Kirk told Eileen that he had authority to make such an agreement on his own but he would confirm about this particular order with his boss.Drew went to the back of the office out of Eileen's sight and returned saying he had confirmed the deal with his boss. Drew did not confirm about this order with Kirk since he was on phone but Eileen believed him.Kirk is liable for the contract entered by Drew and he should not escape the contract. Drew as Kirk's sales assistant is presumed that there is creation of agency between them by express agreement. Hence Drew possesses a contractual capacity to make a contract with a third party on behalf of his principal which is binding. Eileen believed that even though Drew had no capacity to make sales agreement for big order, he confirmed about the sale when he visited their premises and Drew confirmed this from Kirk at the back of the shop out of her sight. ...
Download paper
Not exactly what you need?

Related papers

LAW OF INTERNATIONAL INSURANCE CONTRACT
The insurance also covers some liabilities that arise in cases where there is a collision with another ship and also the liability for colliding with other objects (FFO-Fixed and Floating Objects). Typically, claims under Hull and Machinery insurance include, total loss of the ship; damage to ship, engines and equipments; explosions and fires; groundings; collisions; and striking other objects.…
INSURANCE LAW
.

You may also like:
Law Coursework

Agency and partnershipl law assessed coursework
An agent’s actual authority may be either implied or express. As regards to express authority, there will be no issues as everything will be explained or predetermined. An ostensible authority will occur when if the authority has been conferred on the agent, even if such authority is not bestowed upon him by express words. For instant, if an insurer permits his agent to have in possession of…
Law of Agency
1. By Direct appointment: When the agent's authority is express he is said to be directly appointed. The authority is said to be express when it is given by words spoken or written e.g. A by a letter appoints B his agent.…
Agency and partnership law
The scope here is primarily to evaluate understanding a specific case as described in the following section and offer necessary advise to ADC, one of the parties involved based on applicable laws and legal liberty. In order to advise ADC of their rights and obligations, it is important to focus on the effect of contract made by the agent Andrew, his status in terms of authority based on agreement,…
Insurance Law
Therefore, the only method to discharge a contract is through actions in breach, frustration, fraud etc. In respect to business dealings between companies, these principles are stricter because it is assumed that the bargaining power is equal as they are both knowledgeable in the workings of contracts. In Insurance law, the aim to ensure that contracts between parties are upheld and the courts…
Agency and insurance Law
Drew and Bev are employed by Kirk as his sales assistant in his business of selling building and decorating supplies and related products hence they are his agent. An agent is a person employed expressly to do any act for another or to represent another in dealing with a third party.The work of an agent is to linking the principal with a third party bringing about a contractual relation between…