SOAD2008 Study Guide - Final Guide: Affix, Manal, Estoppel

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Nb: an agent can ratify his/her authority after an event. Nb: an action for breach of warranty of authority can be brought by a third party against an agent who does not have the authority purported. This is the first question that is asked. Incidental authority - an agent has incidental authority when the acts done are incidental to the activities normally authorised. Usual authority: a person in a certain position would have usual authority to perform certain acts. (hely-hutchinson v brayhead limited [1968]. So a managing director would have usual authority to: (a) employ others, guarantee loans, agree to indemnify other guarantors (hely- Hutchinson v brayhead limited [1968], (b) bo(cid:396)(cid:396)o(cid:449) (cid:373)o(cid:374)e(cid:455), gi(cid:448)e se(cid:272)u(cid:396)it(cid:455) o(cid:448)e(cid:396) the (cid:272)o(cid:373)pa(cid:374)(cid:455)(cid:859)s assets, autho(cid:396)ise age(cid:374)ts to a(cid:272)t on behalf of the company, crabtree-vickers pty ltd v australian direct mail. Advertising and addressing co pty ltd (1975): an ordinary director however does not have the usual authority to bind the company.

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