A 'substituted agent' (Section 194) is:
AA person who can never sue the principal
BAn agent of the principal, named by the agent under authority, with privity to the principal
CA sub-agent under the agent's control
DAlways improperly appointed
Answer & Solution
Correct answer: B. An agent of the principal, named by the agent under authority, with privity to the principal
A substituted agent is named by the agent under express/implied authority and becomes an agent of the principal himself, with privity of contract to the principal.
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