If a Principal's Instructions Are Vague or Ambiguous the Agent

question 28

Multiple Choice

If a principal's instructions are vague or ambiguous the agent:

• A)Will not be in breach of the duty to follow instructions if they have interpreted the instructions honestly.
• B)Has a duty to seek to clarify them before acting, or they will breach their duty to follow instructions.
• C)Is not obliged to follow the instructions.
• D)Has a lower standard of care to the principal in respect of the task that is related to the instructions.

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Definitions:

Key Driver

A critical factor or element that significantly influences the outcome or success of a process, strategy, or business.

Revenue

The income generated from normal business operations and includes discounts and deductions for returned merchandise.

Freemium Revenue Model

A business strategy where basic services are provided free of charge while more advanced features must be paid for.

Utility And Usage Revenue Model

A business model where customers pay based on their usage of a service or product, emphasizing the utility value derived from using the product.