First Principles of Business Law

10. Agency by operation of law

10.3. Marital relationships

Read the facts below, and then answer the questions.

A and B are married with two children. Their relationship breaks down and they often fight. Eventually, A tells B that he is leaving her and the children to go and live with someone else. A moves out without leaving a contact number or address. The next day B opens an account at a local store in A's name and, over the next few weeks, she uses that account to buy food and clothes for herself and her children. When called on to settle the account, A says he never authorised B to obtain credit in his name and he denies liability for the debt.

1. In these circumstances, is B entitled to act as A's agent?

2. Would it make a difference to B's right to act as A's agent of necessity if A and B were not actually married, but lived in a de facto relationship of spouses?

3. If A did not want B to be able to act as his agent of necessity, could he notify third parties that she had no authority to represent him, and in this way avoid liability?