Agency Appointment of

(a) Under the law of agency, an agent is required to act only within the scope of authority given to him by the principal and not to delegate such authority. However, under certain circumstances, the law allows for some exceptions to this rule against delegation of an agent’s authority.

State any three (3) of the exceptions. (3 marks)

(b) In relation to the law of agency, describe what is meant by “apparent authority” and agency by holding out. (5 marks)

(c) State and explain the legal provisions, in which the following types of appointment of an agent may become valid:

(i) by express appointment;
(ii) by Implied appointment;

(iii) by ratification. (6 marks)

(d) Under the law, an agent owes various legal duties towards his principal. State and give a brief description of any three (3) of the duties of an agent towards his principal by citing the corresponding statutory provisions. (6 marks)
(MIA QE 2013/9 Q2, 20 marks)

(a) Delegation of agent's duty.

  • Where the principal approves to the delegation of authority
  • Where it is presumed form the conduct of the parties that the agent shall have the authority to delegate.
  • Where customs or practice allows delegation
  • Where delegation is necessary to complete the business
  • Delegation is purely ministerial/clerical
  • In case of an unforeseen emergency/necessity
Similar question was asked in

(b) See Actual v Apparent Authority here.


(c) Agency may arise in the following cases:

  1. S.139 By Express; or
  2. S.139 By Implied
  3. S.149 By Ratification
  4. S.142 By Necessity
  5. By Doctrine of estoppel or 'holding out' which is about Apparent or Ostensible Authority.

Refer earlier posts on this subjects:

Agency Unlawful Act of an Agent 2
Agency by necessity in an emergency
Agency creation and termination