Harry and Thuku agreed to meet for a business lunch at a restaurant in town. During the lunch, Chuma one of Thuku's friends joined the two...

      

Harry and Thuku agreed to meet for a business lunch at a restaurant in town. During
the lunch, Chuma one of Thuku's friends joined the two and began to
participate in the discussions. Chuma told Harry that he was Thuku's agent
to which Thuku did not object.
A week later, Chuma obtained goods on credit from Harry, allegedly on behalf of
Thuku.

Chuma has since disappeared and Harry is demanding payment from Thuku.
Advise Thuku.

  

Answers


Maurice
This problem is based on agency by estoppel.
In this case it is apparent Thuku represented Chuma as his agent and Harry subsequently
dealt with Chuma as Thukus agent. Thuku cannot be heard to say that Chuma was not his
agent. He is estopped from so denying and is liable. My advise to Thuku is that he is liable
to Harry.

My advise is based on the decision in Freemans case.
maurice.mutuku answered the question on April 27, 2018 at 07:10


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