LEGL 2700 Lecture Notes - Lecture 18: Independent Contractor, Employee Retirement Income Security Act, Respondeat Superior

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Agents = people who get the work done in a firm or agency; organizations deal with third parties through the actions of agents. Independent contractor (ic) = perfor(cid:373)s a task for the pri(cid:374)(cid:272)ipal, (cid:271)ut pri(cid:374)(cid:272)ipals do(cid:374)"t ge(cid:374)erall(cid:455) (cid:272)o(cid:374)trol ic"s, a(cid:374)d ic"s (cid:272)a(cid:374) (cid:449)ork for (cid:373)ore tha(cid:374) o(cid:374)e pri(cid:374)(cid:272)ipal: ex) attorneys, in house accountants. The agent then interacts with a third party, and creates a binding relationship. Contractual liability from an agent" act : the principal and third party are contractually bound when any one of these are present, 1. You write a note to terry to allow alex to charge of coffee to (cid:455)our restaura(cid:374)t"s a(cid:272)(cid:272)ou(cid:374)t at the grocery store. You give this note to alex with instructions to get the coffee and give the note to. He then has a bill from terry; the restaurant is legally obligated to pay because alex had implied authority as manager: 4.

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