Exam (elaborations)
Uniform Bar Exam (UBE) MEE Refresh Questions and Answers Latest Update
- Course
- Uniform Bar
- Institution
- University Of California - Berkeley
Uniform Bar Exam (UBE) MEE Refresh Questions and Answers Latest Update
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Solution 2024/2025Pepper
Uniform Bar Exam (UBE): MEE Refresh
Questions and Answers Latest Update
Agency Relationship ANS✔✔ An agency relationship is created when a
principal authorizes an agent to act on its behalf. Agency relationships may
arise by mutual assent or by law.
Ratifying an Agent's Actions ANS✔✔ A principal must manifest assent to be
bound, either with words or conduct that justifies a reasonable person's
conclusion that the principal assents to be bound.
Three Agent Fiduciary Duties ANS✔✔ Loyalty, obedience, and care.
Agency Relationship Created by Mutual Assent ANS✔✔ Principal and agent
agree that the agent will act for the principal's benefit and subject to the
principal's control. No formalities required. A written agreement is not
required.
Actual Agent Authority ANS✔✔ An agent has actual authority if the agent
reasonably believes, based on the principal's manifestations to the agent,
that the principal wishes the agent to act in that manner on the principal's
behalf.
Apparent Agent Authority ANS✔✔ An agent has apparent authority if, based
on the principal's words and conduct, a third party reasonably believes that
the agent has actual authority to take a particular action.
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Pepper
Termination of Actual Authority ANS✔✔ An agent's actual authority
terminates upon: (1) the principal's death or loss of capacity; (2) either
party's revocation of the agency relationship; (3) the occurrence of
circumstances, such as a specified event or a fixed period of time, that
should reasonably cause the agent to conclude that the principal would no
longer manifest assent; or (4) or any circumstances specified by statute.
Terminating Apparent Authority ANS✔✔ Terminates when it's no longer
reasonable for a third-party to believe that the agent has actual authority.
Disclosed Principal Contract Liability (Agency Relationships) ANS✔✔ A
principal is disclosed if a third party dealing with the agent knows or has
reason to know of the agency relationship and the principal's identity. A
disclosed principal is liable for contracts the agent enters with actual or
apparent authority. An agent isn't personally liable for contracts entered on
behalf of a disclosed principal unless the agent agrees to be liable.
Partially Disclosed Principal Contract Liability (Agency Relationships) ANS✔✔
A principal is partially disclosed if a third party dealing with an agent knows
or has reason to know that the agent is acting on a principal's behalf but
doesn't know the principal's identity. A partially disclosed principal is liable
on a contract entered into by an agent with actual or apparent authority. An
agent is also liable on a contract entered on behalf of a partially disclosed
principal, unless the agent agrees otherwise. A third party who contracts
with the agent is liable to both the partially disclosed principal and the
agent in the event of any breach.
Undisclosed Principal Contract Liability (Agency Relationships) ANS✔✔ A
principal is undisclosed if a third party dealing with an agent has no notice
of the fact that the agent is acting for a principal at all, let alone the
principal's identity. Both an undisclosed principal and an agent are liable on
contracts entered into by an agent with actual authority. The third party is
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Pepper
also liable to both the principal and the agent because both are deemed
parties to the contract. When an agent acts on behalf of an undisclosed
principal but the agent lacks actual authority to enter the contract, the
agent is liable as a party to the contract. However, the undisclosed principal
isn't liable.
A Principal's Direct Liability (Agency Relationships) ANS✔✔ Direct liability
arises if: (1) the agent's tortious conduct is within the scope of the agent's
actual authority; (2) the agent's tortious conduct is ratified by the principal,
that is, the principal later assents to be bound by the agent's conduct; or (3)
the principal is negligent in selecting, managing, or retaining the agent.
A Principal's Vicarious Liability (Agency Relationships) ANS✔✔ A principal is
vicariously liable for an agent's tort if the agent commits or conceals a tort
with apparent authority.
Respondeat Superior ANS✔✔ Makes an employer-principal liable for an
employee-agent's torts committed within the scope of employment.
Principal Liability: Respondeat Superior ANS✔✔ Respondeat superior holds a
principal liable for an employee's torts, but not for an independent
contractor's torts. A principal can control not only the end result of the
employee's work, but also the manner and means of accomplishing that
result. In contrast, a principal may tell an independent contractor what
result to achieve, but the principal generally won't control the manner and
means of achieving it.
Within the Scope of Employment ANS✔✔ An employee acts within the scope
of his employment if his conduct: (1) is of the kind that the employee was
hired to perform; (2) occurs substantially within the authorized time and
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