B is A's agent for the sale of certain goods. Before a buyer is found, the goods are damaged and will…
Section 189 gives an agent authority, in an emergency, to do all such acts to protect his principal from loss "as would be done by a person of ordinary prudence, in his own…
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B is A's agent for the sale of certain goods. Before a buyer is found, the goods are damaged and will lose much of their value unless repaired at once. B has no time to consult A and has them repaired. How does section 189 treat B's act?
Answer and explanation
Correct answer C
Section 189 gives an agent authority, in an emergency, to do all such acts to protect his principal from loss "as would be done by a person of ordinary prudence, in his own case, under similar circumstances". Illustration (a) to section 189 states that an agent for sale may have goods repaired if it be necessary. No prior written permission is required; the authority arises from the emergency itself.
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