Asked by Peyton Reyman on Jul 12, 2024
Verified
Marcus is an agent for Leo and Marcus is authorized to buy a car for Leo.Marcus discloses to all car dealers that he is acting on Leo's behalf to buy the car.Leo is a(n) ________.
A) Authorized principal
B) Express principal
C) Implied principal
D) Disclosed principal
Disclosed Principal
A principal whose identity is known by the third parties with whom the agent enters into contracts on behalf of the principal.
- Examine the contrasting liabilities of principals, comparing those that are disclosed against those that are undisclosed.
Verified Answer
9A
9GG#SoNe alwaysJul 15, 2024
Final Answer :
D
Explanation :
A principal is disclosed if a third party knows or has reason to know (1)that the agent is acting for a principal and (2)the principal's identity.
Learning Objectives
- Examine the contrasting liabilities of principals, comparing those that are disclosed against those that are undisclosed.