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Which of the Following Is True Regarding the Liability of a Principal

Question 78

Multiple Choice

Which of the following is true regarding the liability of a principal to an agent based on a contract an agent makes with a third party that expressly excludes the principal from the contract?


A) The principal is liable to the agent because it is per se unconscionable to exclude a principal from a contract.
B) The principal is liable to the agent,but only if the principal is an unidentified principal.
C) The principal is liable to the agent,but only if the principal is a partially disclosed principal.
D) The principal is liable to the agent,unless the principal gave the agent authority in writing to make the agreement with the third party.
E) The principal is not liable to the agent.

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