Restatement (Third) of Agency¶
American Law Institute. (2006). Restatement (Third) of Agency. American Law Institute Publishers.
Cited by¶
6 citations across 6 artifacts.
Each citation links to the sentence it supports in the citing article.
Primes¶
- Confused Deputy
- Agency law (apparent authority): an agent's act binds a principal when third parties reasonably believed the agent was authorised, even though the principal never intended the act — the principal's authority is exercised by an act whose intent originated elsewhere.
This sourceApparent authority binds a principal when a third party reasonably believes the agent is authorized, though the principal never formed the intent.
- Agency law (apparent authority): an agent's act binds a principal when third parties reasonably believed the agent was authorised, even though the principal never intended the act — the principal's authority is exercised by an act whose intent originated elsewhere.
- Untrusted Input Execution
- a clerk acting on the forged authorization wields the institution's standing for the forger, and the agency-law doctrine of apparent authority generalizes the failure — a third party's intent binds a principal because it is executed through an agent whose standing appears valid.
This sourceStates the doctrine of apparent authority, under which a third party's intent binds a principal because it is executed through an agent whose standing appears valid — the institutional generalization of forged-authorization execution.
- a clerk acting on the forged authorization wields the institution's standing for the forger, and the agency-law doctrine of apparent authority generalizes the failure — a third party's intent binds a principal because it is executed through an agent whose standing appears valid.
Domain-specific¶
Mechanisms¶
- Broker Intermediary
- Its signature failure mode is dual agency: a broker that quietly serves the counterparty (or its own commission) while presenting as the principal's advocate.
This sourceTreats undisclosed representation of adverse parties or receipt of material benefits connected with agency transactions as fiduciary conflicts requiring the principal’s informed consent.
- Its signature failure mode is dual agency: a broker that quietly serves the counterparty (or its own commission) while presenting as the principal's advocate.
- Power of Attorney or Mandate Document
- Its characteristic failure mode is stale or apparent authority: a counterparty may reasonably rely on a document whose authority has actually been revoked or exceeded, because a piece of paper cannot announce its own cancellation.
This sourceProvides that apparent authority can persist after actual authority ends until it is no longer reasonable for a third party to believe the authority continues.
- Its characteristic failure mode is stale or apparent authority: a counterparty may reasonably rely on a document whose authority has actually been revoked or exceeded, because a piece of paper cannot announce its own cancellation.
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