New User Special Price Expires in

Let's log you in.

Sign in with Facebook


Don't have a StudySoup account? Create one here!


Create a StudySoup account

Be part of our community, it's free to join!

Sign up with Facebook


Create your account
By creating an account you agree to StudySoup's terms and conditions and privacy policy

Already have a StudySoup account? Login here

Chapter 33

by: Kendall Davis

Chapter 33 ACCT 324 - 002

Kendall Davis
GPA 3.8

Preview These Notes for FREE

Get a free preview of these Notes, just enter your email below.

Unlock Preview
Unlock Preview

Preview these materials now for free

Why put in your email? Get access to more of this material and other relevant free materials for your school

View Preview

About this Document

Notes and examples given in class
Survey of Commercial Law
Julius David Johnson (P)
Class Notes
25 ?




Popular in Survey of Commercial Law

Popular in Accounting

This 2 page Class Notes was uploaded by Kendall Davis on Friday September 30, 2016. The Class Notes belongs to ACCT 324 - 002 at University of South Carolina taught by Julius David Johnson (P) in Fall 2016. Since its upload, it has received 4 views. For similar materials see Survey of Commercial Law in Accounting at University of South Carolina.


Reviews for Chapter 33


Report this Material


What is Karma?


Karma is the currency of StudySoup.

You can buy or earn more Karma at anytime and redeem it for class notes, study guides, flashcards, and more!

Date Created: 09/30/16
Chapter 33 Agency: relationship between principal and agent Agent: one authorized to act for/on behalf of principal Principal: person who hires agent Fiduciary: one with duty to act primarily for another person’s benefit Creation of Agency Relationship Consensual relationship Express agency: agency formed by making written/oral agreement Power of Attorney: Document giving agent authority to sign legal documents on behalf  of principal Durable Power of Attorney: gives the power to the attorney to continue even if the  principal becomes incapacitated Power of Attorney: Document giving authority of attorney to sign legal documents on  behalf of the principal Agency By Implied Authority: cannot conflict with express agency; formed by  implication, through conduct of parties Agency By Estoppel: Agency formed when principal leads third [arty to believe another  individual serves as their agent when there is no agency relationship; this is always the  fault of the third party ex; IBM’s president leads Microsoft to believe that Joe is their salesman, but he’s not Agency By Ratification: Agency that exists when individual misrepresents  himself/herself as agent for another party, and principal accepts/ratifies unauthorized  act individual must misrepresent himself/herself as agent for another party Principal accepts/ratifies unauthorized act Principal has complete knowledge of all material facts regarding contract Principal must ratify entirety of agent’s act Ex. Person’s friend goes to car seller and says that his friend will buy it, friend  (principal) must  ratify this contract and have all of the facts of the contract Types of Agency Relationships Agency Relationship: fiduciary relationship (relationship of trust) in which agent acts on  behalf of principal Principal­Agent Relationship: ex: sports agent, salesperson at store Employer­Employee Relationship: ex: hired to perform tasks, work in stockroom, janitor Employer­Independent Contractor Relationship:  Independent Contractor or Employee? Does worker engage in distinct occupation? Does employer provide tools? What skill is required? What is the length of time the worker is employed? Is worker a regular part of the business? How is the worker paid? Employees get certain benefits, independent contractors do not Employers are responsible for employees actions, but not independent contractors Principal’s Duties To Agent Compensation­ biggest duty to agent Reimbursement and Indemnification Cooperation Safe Working Conditions Agent’s Duties to Principal Loyalty­confidentiality Notification Performance Obedience­ even if an agent finds something that the principal wants, and the agent  wants it, the agent must first present it to the principal Notification Accounting Principal’s Rights and Remedies Against Agent Constructive Trust: if, in example above, agent buys piece of land, court can rule that  the land is now the Principal’s  Avoidance Indemnification As well as, suing for breach of contract Agent’s Rights and Remedies Against Agent Tort and Contract Remedies Demand For an Accounting Specific Performance: in unique cases


Buy Material

Are you sure you want to buy this material for

25 Karma

Buy Material

BOOM! Enjoy Your Free Notes!

We've added these Notes to your profile, click here to view them now.


You're already Subscribed!

Looks like you've already subscribed to StudySoup, you won't need to purchase another subscription to get this material. To access this material simply click 'View Full Document'

Why people love StudySoup

Jim McGreen Ohio University

"Knowing I can count on the Elite Notetaker in my class allows me to focus on what the professor is saying instead of just scribbling notes the whole time and falling behind."

Anthony Lee UC Santa Barbara

"I bought an awesome study guide, which helped me get an A in my Math 34B class this quarter!"

Bentley McCaw University of Florida

"I was shooting for a perfect 4.0 GPA this semester. Having StudySoup as a study aid was critical to helping me achieve my goal...and I nailed it!"


"Their 'Elite Notetakers' are making over $1,200/month in sales by creating high quality content that helps their classmates in a time of need."

Become an Elite Notetaker and start selling your notes online!

Refund Policy


All subscriptions to StudySoup are paid in full at the time of subscribing. To change your credit card information or to cancel your subscription, go to "Edit Settings". All credit card information will be available there. If you should decide to cancel your subscription, it will continue to be valid until the next payment period, as all payments for the current period were made in advance. For special circumstances, please email


StudySoup has more than 1 million course-specific study resources to help students study smarter. If you’re having trouble finding what you’re looking for, our customer support team can help you find what you need! Feel free to contact them here:

Recurring Subscriptions: If you have canceled your recurring subscription on the day of renewal and have not downloaded any documents, you may request a refund by submitting an email to

Satisfaction Guarantee: If you’re not satisfied with your subscription, you can contact us for further help. Contact must be made within 3 business days of your subscription purchase and your refund request will be subject for review.

Please Note: Refunds can never be provided more than 30 days after the initial purchase date regardless of your activity on the site.