An agent may agree to become liable on a contract between a principal and a third party in all but which of the following ways?
A) Making the contract in the agent's own name.
B) Guaranteeing that the principal will perform the contract between the third party and the principal.
C) Disclosing the principal's name and the agency relationship.
D) Co-making the contract with the principal.

Question

Quizplus · Accepted Answer

An agent agreeing to become liable on a contract typically involves taking on some form of responsibility for the contract's performance, such as making the contract in their own name, guaranteeing the principal's performance, or co-making the contract. Disclosing the principal's name and the agency relationship does not in itself make the agent liable on the contract; it merely clarifies the parties involved.

An Agent May Agree to Become Liable on a Contract