Question

To display desserts in restaurants, Mario Sclafani ordered refrigeration units from Felix Storch, Inc. Felix faxed a credit application to Sclafani. The application was faxed back with a signature that appeared to be Sclafani's. Felix delivered the units. When they were not paid for, Felix filed a suit against Sclafani to collect. Sclafani denied that he had seen the application or signed it. He testified that he referred to all credit questions to "the girl in the office." Who was the principal? Who was the agent? Who is liable on the contract? Explain.

Answer 1

Answer:

Who is the principal?

Mario Sclafani

Who is the agent?

The office worker

Explanation:

Sclafani is a disclosed administrator. Principals are responsible for agreements entered into by an agent when the principal approved the contract.

Whenever a third party, Felix in this scenario, signs a contract with a disclosed source, Sclafani in this case, who is responsible for the contract.