Pamela Was the Agent in Charge of Distribution and Collections

question 20

Essay

Pamela was the agent in charge of distribution and collections for the Coble Dairy Products Cooperative. Thrower operated a grocery store and purchased dairy products from Coble. Pamela made false invoice sheets, showing delivery to Thrower of greater quantities than Thrower actually had ordered or received. Pamela collected from Thrower on the basis of these increased amounts, and then kept for herself the difference between the increased amounts and the amounts that should have been charged. When Thrower learned of this, he sued Coble for the excess payments he had made. Coble denied that Pamela was its agent in making excess collections. Will Thrower win?

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Definitions:

Franchise Rule

A regulation designed to govern the sale of franchises, requiring franchisors to provide potential franchisees with disclosure documents containing vital details about the franchise.

Federal Trade Commission

A U.S. government agency aimed at protecting consumers and ensuring a strong competitive market by enforcing antitrust and consumer protection laws.

Franchisor

A person or company that grants the license to a third party for the conducting of a business under the franchisor's marks, name, and business model.

Business Trust

A business organization governed by a group of trustees, who operate the trust for beneficiaries.