An agent can become liable while acting for the principal if:

Question

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All of the options listed can result in an agent becoming liable while acting on behalf of a principal. If the agent violates any duties owed to the principal, they can be held responsible for any resulting damages. If the agent exceeds actual authority, they may be acting outside of the scope of their role, which can lead to liability. Finally, if the agent assumes liability for a particular transaction, they are taking on responsibility that may not be theirs to bear, which could lead to negative consequences.

An Agent Can Become Liable While Acting for the Principal