John has been hired by Bubbaweiser Beer Company to purchase an airplane.He approaches Sam who has a Cessna for sale.John does not mention that he is making this purchase on behalf of someone else.He negotiates a deal.Two weeks later,Sam learns that John did not negotiate the deal for himself,but was acting as an agent.Bubbaweiser declares bankruptcy and cannot buy the plane.John:

Question

Quizplus · Accepted Answer

In an undisclosed agency, the agent can be held personally liable on the contract because the third party was unaware of the principal's existence.

John Has Been Hired by Bubbaweiser Beer Company to Purchase