1. Jody Blanke Professor of Computer Information Systems and Law
Agency
Jody Blanke
Professor of Computer Information Systems and Law

2. Formation of Agency Relationships
By Agreement
Written
Oral
Without Agreement
Agency by estoppel

3. Agent’s Ability to Bind the Principal to Contracts
Actual Authority
Express
Implied
Apparent Authority
Ratification

4. Principal’s Duties Duty of compensation
Duty of reimbursement and indemnification
Duty of cooperation

5. Agent’s Duties Duty of loyalty Duty of obedience
Duty to communicate to the principal
Duty to exercise due care
Duty to render an accounting

6. Liability of Principals (Employers)
Principals (employers) are vicariously liable for the torts of their agents (employees) committed during the scope of their agency (employment)
Respondeat superior (“let the master answer”)
1. There must be a master-servant relationship
2. The tort must have been committed during the scope of agency (employment) business
Scope of employment
“detour” – slight deviation from employer’s interests
“frolic” – does not serve employer’s interests

7. Employee or Independent Contractor
How much control is exercised by the employer
Hours of work
Place of work
Equipment used
Degree of skill
Similarity to business of employer
Duration of work
Frequency of pay
Exertion of independent judgment