2009 California Civil Code - Section 2330-2339 :: Article 3. Mutual Obligations Of Principals And Third Persons

SECTION 2330-2339

2330.  An agent represents his principal for all purposes within the
scope of his actual or ostensible authority, and all the rights and
liabilities which would accrue to the agent from transactions within
such limit, if they had been entered into on his own account, accrue
to the principal.

2331.  A principal is bound by an incomplete execution of an
authority, when it is consistent with the whole purpose and scope
thereof, but not otherwise.

2332.  As against a principal, both principal and agent are deemed
to have notice of whatever either has notice of, and ought, in good
faith and the exercise of ordinary care and diligence, to communicate
to the other.

2333.  When an agent exceeds his authority, his principal is bound
by his authorized acts so far only as they can be plainly separated
from those which are unauthorized.

2334.  A principal is bound by acts of his agent, under a merely
ostensible authority, to those persons only who have in good faith,
and without want of ordinary care, incurred a liability or parted
with value, upon the faith thereof.

2335.  If exclusive credit is given to an agent by the person
dealing with him, his principal is exonerated by payment or other
satisfaction made by him to his agent in good faith, before receiving
notice of the creditor's election to hold him responsible.

2336.  One who deals with an agent without knowing or having reason
to believe that the agent acts as such in the transaction, may set
off against any claim of the principal arising out of the same, all
claims which he might have set off against the agent before notice of
the agency.

2337.  An instrument within the scope of his authority by which an
agent intends to bind his principal, does bind him if such intent is
plainly inferable from the instrument itself.

2338.  Unless required by or under the authority of law to employ
that particular agent, a principal is responsible to third persons
for the negligence of his agent in the transaction of the business of
the agency, including wrongful acts committed by such agent in and
as a part of the transaction of such business, and for his willful
omission to fulfill the obligations of the principal.

2339.  A principal is responsible for no other wrongs committed by
his agent than those mentioned in the last section, unless he has
authorized or ratified them, even though they are committed while the
agent is engaged in his service.

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