Which of the Following Is False Regarding a Principal's Duties

question 59

Multiple Choice

Which of the following is false regarding a principal's duties to an agent?

• A) An agent can sue the principal if the principal does not fulfill duties owed to the agent.
• B) In a successful suit against a principal, an agent is entitled to contract remedies but not tort remedies.
• C) If the principal has failed to meet duties owed to the agent, the agent can refuse to act on behalf of the principal until the failure is remedied.
• D) The principal has a duty to compensate an agent for services provided unless the parties have agreed that the agent will act gratuitously.
• E) The principal has a duty of reimbursement and indemnification to the agent for authorized expenditures.

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Definitions:

Title Pass

The transfer of ownership rights from one party to another, particularly in the sale of goods or property.

Contract

A voluntary exchange of promises creating obligations that, if defaulted on, can be enforced and remedied in the courts.

Special Plan

A customized strategy or program designed to address specific objectives or requirements.

Serial Number

A unique identifier assigned to individual items, typically for tracking, identification, and inventory purposes.