Able Is Involved in an Automobile Accident and Is Injured

question 65

Multiple Choice

Able is involved in an automobile accident and is injured. While he is unconscious, the police call an ambulance which takes him to a hospital. Able is treated at the hospital and released a day later. The hospital sends him a bill for $4,500, which Able refuses to pay, claiming it is too high and he never consented to the treatment because he was unconscious. Able:

• A) has entered into a unilateral contract with the hospital and therefore will have to pay the bill.
• B) will have to pay the hospital, because this is a quasi-contractual agreement.
• C) has entered into an implied in fact contract with the hospital.
• D) and the hospital have entered into a bilateral contract, the terms of which require that he pay the bill.

---

Definitions:

Agency

A relationship between two parties in which one party, the agent, is authorized to act on behalf of another party, the principal, in business transactions.

Agreement

One of the four elements necessary for a contract; consists of an offer made by one party, the offeror, and the acceptance of the offer by another party, the offeree.

Agent

Describes a person or entity authorized to act on behalf of another, known as the principal, in dealings with third parties.

Principal

In a contractual or fiduciary relationship, the principal is the party who authorizes an agent to act on their behalf.