Selected Cases by Article & Issues
Article 2.2.40 Cases
(1) Where an agent acts whithin the scope of its authority and the third party neither knew nor ought to have known that the agent was acting as an agent, the acts of the agent shall affect only the relations between the agent and the third party.
(2) However, where such an agent, when contracting with the third party on behalf of a business, represents itself to be the owner of that business, the third party, upon discovery of the real owner of the business, may exercise also against the latter the rights it has against the agent.
| Number | Issue | # Cases |
|---|---|---|
| 1 | “undisclosed” agency | |
| 1.1 | Third party’s lack of knowledge of agent's acting as agent | |
| 2 | Agent's acts binding agent vis-à-vis third party | |
| 2.1 | Exception | |
| 2.1.1 | Agent representing itself as owner of business | |
| 2.1.1.1 | Third party's right of action against principal |