|
First Principles of Business Law |
| The law of agency |
|
7. An agent's relations with third parties |
|
7.3. Disclosed and undisclosed principals continued... |
|
Read the facts below (which are the same as in the previous question) and then answer the question. A negotiates a contract to purchase some computer software for $2,000 from B. The sale contract is in writing and is signed by both A and B. During the negotiations A does not say anything about being an agent for anyone, but when he signs the contract, A writes "pp XYZ Pty Ltd" immediately below his signature. XYZ Pty Ltd is a company owned by A, of which he is the sole director. |
|
If A signed the contract without adding "pp XYZ Pty Ltd" would A be personally liable to B on the contract, even though he intended to act for his company when signing? |
 |
 |
|