Stanley Smith is an agent of the XYZ Company and signs a check as an authorized agent of the company.If he signs the check,"Stanley Smith,Agent",he will have no liability and XYZ will have full liability if the check were dishonored.

Question

Quizplus · Accepted Answer

If Stanley Smith signs the check as "Stanley Smith, Agent," he may still have personal liability unless it is clear that he is signing on behalf of the company and the company is identified on the check. Proper indication of agency and the principal's name is necessary to avoid personal liability.

Stanley Smith Is an Agent of the XYZ Company and Signs