-Gorton was injured in an automobile accident after Doty loaned her vehicle to Garst to transport Gorton and others to a football game. Doty required that Garst drive her car.
Agency Law – Triangle: principal, agent, and third party.
-Agent – Football coach (Garst).
-Principal – Doty.
-Third Party – Gorton.
-Relation which exists where one person acts for another.
Test – Relationship which results from the manifestation of consent by one person to another that the other shall act on his behalf and subject to his control, and consent by the other so to act. Rest. (2d) of Agency § 1(1).
1. Principal must be able to exercise control over agent. (Doty required Garst to drive.)
2. Agent must consent to act as an agent for principal, and vice versa.
a. Agent need not communicate consent to principal.
3. Manifestation of consent; actual underlying consent is not at issue.
4. Principal must benefit in some way. (Doty is excited about football game.)
a. Agency relationship can be gratuitous; agent does not benefit. E.g., returning a friend’s library books.
5. Not based on how parties describe relationship, but on actual circumstances.
6. Avoiding Agency Relationship
a. Do not leave instructions for purported agent, i.e., do not require Garst to drive the car. Shows no control over agent.
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