Which of the following is the way an agent should sign a contract in order to bind the principal and not the agent?
A)When the agent is known to be an agent, he or she should sign only his or her name.
B)The agent should sign only his or her name whether known to be an agent or not.
C)The agent should sign only with his or her initials.
D)The agent should sign his or her name "as agent for principal".

Question

Which of the following is the way an agent should sign a contract in order to bind the principal and not the agent?
A)When the agent is known to be an agent, he or she should sign only his or her name.
B)The agent should sign only his or her name whether known to be an agent or not.
C)The agent should sign only with his or her initials.
D)The agent should sign  his or her name "as agent for principal".

Quizplus · Accepted Answer

To bind the principal and not the agent, the agent should clearly indicate that they are signing on behalf of the principal. This is typically done by signing their name followed by a designation such as "as agent for [principal's name]." This makes it clear that the agent is acting on behalf of the principal and not in a personal capacity.

Which of the Following Is the Way an Agent Should