IdeasCuriosas - Every Question Deserves an Answer Logo

In Business / College | 2025-07-05

Mike is an agent making purchase orders for Tammy. Tammy passes away before the agency contract is voluntarily ended. The agent has already done half of the work assigned. What is the result related to the status of the agency?

Asked by jfaries26

Answer (2)

When discussing agency relationships in legal terms, it is important to understand how the death of a principal (in this case, Tammy) affects the agency.

Definition of Agency: An agency relationship is where one party (the agent, Mike) is authorized to act on behalf of another party (the principal, Tammy) in business or legal matters.

Termination by Death: Generally, an agency is terminated automatically if the principal dies, unless there is a durable power of attorney or another agreement in place that specifies otherwise.

Impact on Work: Since Tammy has passed away, the agency relationship ends immediately upon her death. Mike is no longer authorized to continue performing any work or making further decisions on her behalf, even if he has already completed half of the work.

Legal Considerations: Mike may need to communicate with Tammy's estate or executor to address any unfinished business or to discuss payment for the work he has already completed. It is important for Mike to proceed according to any relevant laws or contractual obligations in this situation.

Practical Steps: It would be advisable for Mike to seek legal counsel or contact the executor of Tammy's estate to clarify how to settle any outstanding issues related to the agency.

Answered by OliviaLunaGracy | 2025-07-07

When Tammy, the principal, died, the agency relationship with Mike was automatically terminated. Mike is no longer authorized to act on her behalf, even though he completed half of the assigned work. He should communicate with Tammy's estate to resolve any outstanding matters related to his services.
;

Answered by OliviaLunaGracy | 2025-08-08

Related Questions in Business

[Answered] An electric device delivers a current of [tex]$15.0 A$[/tex] for 30 seconds. How many electrons flow through it?

[Answered] Select the best answer for the question. 6. __________ is the amount of time you spend studying or working versus the amount of time you spend on yourself. A. Self-care B. Time management C. Work-life balance D. Self-actualization

[Answered] Braxton and Kaih have just inherited $50,000. Which of the following statements is true? A. They should invest this money in corporate bonds to save on taxes. B. The $50,000 will be taxable income in the year received, and they should invest this money in corporate bonds to save on taxes. C. The $50,000 will be taxable income in the year received. D. The $50,000 is excluded from gross income.

[Answered] Solve the problem using $6.2 \%$, up to $ \$128,400$ for Social Security tax and using $1.45 \%$, no wage limit, for Medicare tax. What are the social security and Medicare withholdings (in \$) for an executive whose annual gross earnings are $ \$131,500$? Social Security $ \$\square$ Medicare $ \$\square$

[Answered] Is the Customer Always Right?, p 207 Is the Customer Always Right? At an independently owned Pizza Hut franchise in Oklahoma, two regular customers made sexually offensive remarks to a female employee named Lockard, who then told her boss she did not like waiting on them. One evening, these customers again entered the restaurant, and her boss instructed Lockard to wait on them. She did, but this time the customers became physically abusive. Although it is the employee’s duty to provide good customer service, that does not mean accepting harassment. Lockard sued her employer, the owner of the franchise, for failing to take her complaints seriously and for making her continue to suffer sexual harassment and assault by customers. The jury ruled in her favor, awarding her $360,000, and an appeals court upheld the judgment. 1. Clearly, no employee should expect to be physically assaulted, but how far should an employee be expected to go in the name of customer service? 2. Is taking verbal taunts expected? Why or why not? 3. Just as every employee should treat customers and clients with respect, so every employer is ethically—and often legally—obligated to safeguard employees on the job. This includes establishing a workplace atmosphere that is safe and secure for workers. If you were the owner of this Pizza Hut franchise, what protections might you put in place for your employees?