Agency: who can bind whomAgency: quién obliga a quién
Rosa owns a bakery. In front of a flour supplier she tells her assistant Tomás that he handles all purchasing. Later, in private, she tells Tomás never to order more than $2,000 at a time. Tomás orders $6,000 of flour from that supplier. Is Rosa bound?
Apparent authority comes from the principal's manifestations to the third party. Rosa manifested to the supplier; the limit she gave Tomás alone cannot be seen by the supplier.La representación aparente nace de lo que el principal manifiesta al tercero. Rosa le manifestó al proveedor; el límite que dio a Tomás a solas no lo ve el proveedor.
Restatement (Third) of Agency §§ 2.01, 2.03
Which of these is the source of inherent agency power?
Inherent power attaches to the position: people in that role customarily have that authority, so the law treats the principal as bound.El poder inherente va con el cargo: quienes ocupan ese puesto suelen tener esa facultad, así que la ley obliga al principal.
Class slides, ch. 1 (Aug. 2026); R.2d Agency § 8A
A sales representative signs a five-year supply contract she had no authority to sign. She also signed a side letter with a penalty clause that she never showed anyone. The company's CEO reads the contract, likes the price and tells the supplier the company is on board. Two months later the side letter surfaces. Can the company disavow the deal?
A principal ratifies only with knowledge of the material facts (unless it knowingly ratifies blind). A hidden penalty clause is material, so the ratification fails as to the deal it did not know about.El principal solo ratifica con conocimiento de los hechos materiales (salvo que acepte ratificar a ciegas). Una cláusula penal oculta es material, así que la ratificación falla.
Restatement (Third) of Agency §§ 4.01, 4.06
A courier company pays its drivers per delivery. Drivers use their own vans, pick their own routes and hours, and may work for competitors. One driver hits a cyclist while delivering a package. Who is liable to the cyclist?
The employer answers only for employees, and the line is control: own van, own routes, own hours and freedom to work for others point to an independent contractor.El patrón responde solo por empleados, y el criterio es el control: vehículo propio, rutas y horarios propios y libertad de trabajar para otros apuntan a contratista independiente.
Restatement (Third) of Agency § 7.07
A hotel's night clerk is told to stay at the front desk. At 2 a.m. he drives the hotel's golf cart twenty miles to a friend's party and injures a pedestrian on the way. Best analysis of the hotel's liability?
Scope of employment covers acts the employee was hired to do, acts incidental to them and acts that further the employer's business. A substantial personal deviation (a frolic) breaks the chain; a minor detour would not.El ámbito del empleo cubre lo encomendado, lo accesorio y lo que sirve al negocio. Una desviación personal sustancial (frolic) rompe la cadena; un desvío menor no.
Restatement (Third) of Agency § 7.07(2)
Which element does agency by estoppel require that apparent authority does not?
Estoppel fills the gap when there is no real manifestation: the principal carelessly allowed the belief, and the third party lost something relying on it.El estoppel llena el hueco cuando no hay una manifestación real: el principal permitió por descuido la creencia y el tercero perdió algo al confiar.
Restatement (Third) of Agency § 2.05
Apparent authority is created by the principal's manifestations to the , while actual authority is created by the principal's manifestations to the .
Same principal, different audience. Always ask to whom the principal spoke or acted.Mismo principal, distinto público. Pregunta siempre a quién le habló o frente a quién actuó el principal.
Once a principal ratifies an unauthorized act, the authority to the moment of the transaction, as if the agent had held actual authority all along.
Relation back is why ratification is dangerous for the principal and valuable for the third party.La retroactividad es lo que hace a la ratificación peligrosa para el principal y valiosa para el tercero.
What is the first document a careful transactional lawyer reads to determine the rights and relationships of the parties?
AnswerRespuesta: The parties' own agreement (the contract: engagement letter, employment contract, partnership agreement, board resolution). Default rules of agency law apply only where the agreement is silent.
- the agreement or contract between the parties
- default rules come second
Which statement about laches is correct?
Laches is a form of estoppel built on unreasonable delay plus prejudice, decided on the facts.Laches es una forma de estoppel basada en demora irrazonable más perjuicio, decidida según los hechos.
Class slides, ch. 1; practice quiz answer key (Sept. 2026)
Who can bind a general partnership on an ordinary-course transaction with an outsider?
Each partner is an agent of the partnership for its ordinary business; that mutual agency is why partners need to trust each other and why a written agreement matters.Cada socio es agente de la partnership para su negocio ordinario; esa agencia mutua es la razón para confiar en los socios y para tener convenio escrito.
RUPA § 301; class slides, ch. 2