Which Statement Is False Regarding Termination of Agency Based on Operation

question 8

Multiple Choice

Which statement is false regarding termination of agency based on operation of law?

• A)An agency agreement is terminated whenever the agent,unknown to the principal,acquires an interest against the principal's interest.
• B)A change in law passed subsequent to the formation of an agency agreement may not result in termination of the agency agreement.
• C)The agency agreement is terminated if the agent breaches the duty of loyalty he or she has to the principal.
• D)If there is an unusual change in circumstances that leads the agent to believe that the principal's instructions do not apply,the agency relationship terminates.
• E)Impossibility of performance terminates the agency relationship.

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