Question 1

List the circumstances that can lead to termination by impossibility of performance.

Accepted Answer

An agency relationship terminates if a s...

Question 2

A(n) ________ is a relationship formed when an employer hires an employee and gives that employee authority to act and enter into contracts on his or her behalf.

Accepted Answer

A)  agent-independent contractor relationship
B)  principal-agent relationship
C)  agent-agent relationship
D)  employer-employee relationshipE) A) and D)
F) B) and C)

Question 3

The termination of an agency contract in violation of the terms of the agency contract is referred to as ________.

Accepted Answer

A)  termination by an unusual change in circumstances
B)  termination by impossibility of performance
C)  terminated by operation of law
D)  wrongful terminationE) A) and B)
F) A) and C)

Question 4

For an implied agency to function, implied authority cannot conflict with express authority.

Accepted Answer

A) True 
 B)False

Question 5

Constructive notices are not valid against strangers who assert claims of apparent agency.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following constitutes an agency?

Accepted Answer

A)  principal-agent relationship
B)  agent-agent relationship
C)  principal-principal relationship
D)  agent-independent contractor relationshipE) A) and C)
F) A) and D)

Question 7

Unless mutually agreed by the parties, the termination of an agency coupled with interest requires completion of the agency.

Accepted Answer

A) True 
 B)False

Question 8

An express agency contract cannot be orally agreed upon.

Accepted Answer

A) True 
 B)False

Question 9

Minors can appoint an agent without court approval.

Accepted Answer

A) True 
 B)False

Question 10

The principal is bound legally to pay a gratuitous agent.

Accepted Answer

A) True 
 B)False

Question 11

What is an agency coupled with an interest?

Accepted Answer

An agency coupled with an interest is a ...

Question 12

An agent who has negligently or intentionally failed to perform his express duties is also liable to torn laws.

Accepted Answer

A) True 
 B)False

Question 13

A principal can authorize an independent contractor to enter into contracts.

Accepted Answer

A) True 
 B)False

Question 14

Who is an agent?

Accepted Answer

A)  a party who agrees to act on behalf of another
B)  a party who employs another person to act on his or her behalf
C)  a party that directs a worker under an express or implied contract of employment
D)  a party who receives the services of another for remunerationE) All of the above
F) B) and C)

Question 15

An agent given a power of attorney is known as an attorney-in-fact.

Accepted Answer

A) True 
 B)False

Question 16

An agent does not owe a duty to notify the principal of important information he learns concerning the agency.

Accepted Answer

A) True 
 B)False

Question 17

Agency law is a mixture of tort and contract laws.

Accepted Answer

A) True 
 B)False

Question 18

Who is an independent contractor?

Accepted Answer

Principals often employ outsiders, perso...

Question 19

A principal-agent relationship exists when an employer hires an employee to perform some form of physical service.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is true of a general power of attorney?

Accepted Answer

A)  A power of attorney can be oral.
B)  Only lawyers can be agents of a power of attorney.
C)  A power of attorney cannot be claimed once the principal in incapacitated.
D)  It allows the agent to sign legal documents on the principal's behalf.E) A) and C)
F) A) and B)

Exam 29: Agency Formation and Termination

An agent given a power of attorney is known as an attorney-in-fact.

Correct AnswerverifiedShow Answer

For an implied agency to function, implied authority cannot conflict with express authority.

Correct AnswerverifiedShow Answer

Constructive notices are not valid against strangers who assert claims of apparent agency.

Correct AnswerverifiedShow Answer

An express agency contract cannot be orally agreed upon.

Correct AnswerverifiedShow Answer

What is an agency coupled with an interest?

Correct AnswerverifiedAn agency coupled with an interest is a ...View AnswerShow Answer

Which of the following is true of a general power of attorney?

Correct AnswerverifiedShow Answer

Minors can appoint an agent without court approval.

Correct AnswerverifiedShow Answer

Unless mutually agreed by the parties, the termination of an agency coupled with interest requires completion of the agency.

Correct AnswerverifiedShow Answer

An agent does not owe a duty to notify the principal of important information he learns concerning the agency.

Correct AnswerverifiedShow Answer

A principal can authorize an independent contractor to enter into contracts.

Correct AnswerverifiedShow Answer

Agency law is a mixture of tort and contract laws.

Correct AnswerverifiedShow Answer

The principal is bound legally to pay a gratuitous agent.

Correct AnswerverifiedShow Answer

A principal-agent relationship exists when an employer hires an employee to perform some form of physical service.

Correct AnswerverifiedShow Answer

An agent who has negligently or intentionally failed to perform his express duties is also liable to torn laws.

Correct AnswerverifiedShow Answer

Who is an independent contractor?

Correct AnswerverifiedPrincipals often employ outsiders, perso...View AnswerShow Answer

Who is an agent?

Correct AnswerverifiedShow Answer

A(n) ________ is a relationship formed when an employer hires an employee and gives that employee authority to act and enter into contracts on his or her behalf.

Correct AnswerverifiedShow Answer

List the circumstances that can lead to termination by impossibility of performance.

Correct AnswerverifiedAn agency relationship terminates if a s...View AnswerShow Answer

Which of the following constitutes an agency?

Correct AnswerverifiedShow Answer

The termination of an agency contract in violation of the terms of the agency contract is referred to as ________.

Correct AnswerverifiedShow Answer

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An agency coupled with an interest is a ...
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Principals often employ outsiders, perso...
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An agency relationship terminates if a s...
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