TopCo Inc appointed Ethel as its agent to negotiate a building lease on its behalf with DeGroot Realty Inc.At one point in the negotiations,DeGroot says to Ethel that it will buy her a new car if the negotiations are completed by the end of the week.Ethel cannot accept the car unless she obtains the permission of TopCo.

Question

Quizplus · Accepted Answer

As Ethel is acting as an agent for TopCo, she cannot accept any gifts or benefits without the permission of her principal. Therefore, she cannot accept DeGroot's offer of a new car without obtaining TopCo's permission first.

TopCo Inc Appointed Ethel as Its Agent to Negotiate a Building