The principal is under a ____ for damages to cover the agent's losses (such as from litigation) suffered while undertaking authorized transactions for the principal.

Question

Quizplus · Accepted Answer

The duty to indemnify requires the principal to compensate the agent for any losses or damages incurred while conducting authorized transactions. This duty is often included in agency agreements to protect the agent from potential liabilities and risks.

The Principal Is Under a ____ for Damages to Cover