Agency Formation & Duties
The characterization of a worker when the hiring party exercises a considerable amount of control over the details of the work.
What is an employee?
The legal doctrine that exposes an employer to liability for a tort committed by an employee while the employee is acting within the employee's "scope of employment."
What is the Doctrine of Respondeat Superior?
The general considerations to be made for all small businesses.
The two types of business organizations that can be formed without any legal formalities.
What are sole proprietorships and general partnerships?
A relationship involving trust and confidence.
What is a fiduciary relationship?
When the contract must be in writing, so must the agent's authority.
What is the equal dignity rule?
The way corporations are taxed.
What is double taxation?
Advantage for buyer of established franchise.
What is existing trademarks and familiarity by consumers?
Authority created when the principal acts in such a way that causes a third party to have the reasonable belief that the agent had authority to act on behalf of the principal.
What is agency by estoppel?
Where an unforeseen emergency demands action by the agent, which binds the principal.
What are emergency powers.
The owners of a corporation.
Who are shareholders?
How a corporation is taxed.
What is double taxation?
An agent's duties to the principal.
What are the duties of (1) performance; (2) notification; (3) loyalty; (4) obedience; and (5) accounting?
The 5 ways agency may be terminated by act of the parties.
What are lapse of time, purpose achieved, occurrence of specific event, mutual agreement, and option of one party?
The definition of a close corporation.
What is a corporation that generally is family owned and operates much like a partnership?
The two major reasons that people choose to form LLCs.
What are the limited personal liability of owners and flow through taxes?
The principal's duties to the agent.
What are (1) compensation; (2) reimbursement and indemnification; (3) cooperation; and (4) safe working conditions?
The 5 ways agency can be terminated by operation of law.
What are death/insanity, impossibility, changed circumstances, bankruptcy, and war?
The difference between a public and publicly held corporation.
What is a company that serves a public purpose (ex. Amtrak) vs. a private company that trades shares on an exchange (ex. NASDAQ)?
The way a limited partner becomes liable for partnership debts the same as a general partner.
What is when the limited partner participates in the management of the partnership?