Under the Second Restatement,which of the Following Is Correct with Regard

question 38

Multiple Choice

Under the Second Restatement,which of the following is correct with regard to a contract entered into with a third person by an agent of an undisclosed principal?

• A) The agent has no liability to the third person if the agent has acted within the scope of her authority.
• B) The agent is personally liable upon the contract unless the third person discovers the existence and identity of the principal and elects to hold the principal to the contract.
• C) Once the third person learns of the existence and identity of the principal,that third person may hold both the principal and the agent to the performance of the contract.
• D) If the third party obtains a judgment against the principal,the agent may still have liability to that third party.

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Definitions:

Impact

The effect or influence of one variable on another or on a specific outcome.

Autonomy

The degree to which a person or entity has the freedom, independence, and control over their own decisions or actions.

Task Identity

The degree to which a job allows an individual to complete a workpiece from start to finish, providing a sense of accomplishment.

Task Significance

The degree to which a job has a substantial impact on the lives of other people, whether within the organization or in the wider world.