John is an agent for Peabody. John tells Wanda (a third party) of Peabody's existence, but not its identity, therefore John is an agent for a(n) ______ principal. If John signs a contract with Wanda on behalf of Peabody, John is ______ on the contract.

Question

Quizplus · Accepted Answer

John is an agent for a partially disclosed principal because although he informed Wanda of the principal's existence, he did not reveal its identity. If John signs a contract with Wanda on behalf of Peabody, he is personally liable because he did not disclose the principal's identity, which means Wanda cannot hold Peabody responsible for the contract. As a result, John remains personally responsible for any obligations arising from the contract.

John Is an Agent for Peabody