A presumption of the agent's personal liability also arises where the disclosed principal
Alives in another town
Bcannot be sued at all
Cis the agent's minor child
Dpays only by cheque
Answer & Solution
Correct answer: B. cannot be sued at all
Section 230 presumes the agent's personal liability where the disclosed principal cannot be sued.
Keep practising Agency
Browse all Agency questions for CA Foundation, or explore more Businesslaw topics.
Related questions
An agent for sale makes an unauthorised misrepresentation and C buys. The contract isFrauds by agents in matters outside their authorityA tells B not to sell below a set price, but C, unaware, buys below it from B. A isA principal who made third persons believe an agent's acts were authorised isA person who contracted as agent but really acted on his own accountA person untruly claims to be an agent and no ratification follows. He mustA third party induces belief that only the principal is liable. He laterA sells cotton to B and later learns B was agent for C. A may sue