An undisclosed principal may result in which of the following?
A) Liability of the agent for any contract made on behalf of such a principal.
B) The agent's being declared incompetent by a court of law.
C) A declaration order by the court for the principal to show a guarantee.
D) All of these.

Question

Quizplus · Accepted Answer

An undisclosed principal situation can lead to the agent being held liable for any contracts they enter into on behalf of the principal. This is because the other party to the contract may not be aware of the principal's existence or identity, and thus, the agent may be seen as the responsible party.

An Undisclosed Principal May Result in Which of the Following