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

question 41

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:

Prestigious

Describes something or someone that is highly respected and admired for being successful or of high quality.

Contract Performance

Refers to the execution of the duties and obligations as outlined in a contract by the parties involved.

Breach of Condition

A breach of condition refers to the failure to meet a critical term of a contract, which can entitle the other party to terminate the agreement and seek damages.

Legal Tender

A form of money that under law must be accepted if offered in payment of debt.