BUSINESS ORGANIZATION 1

2C-JD5, 10am – 1pm (Sunday)

Room P308, PSB

AGENCY OUTLINE for SECOND SESSION

A. CAPACITY OF THE PRINCIPAL

B. CAPACITY OF AN AGENT

C. POWERS

1. TO BIND PRINCIPAL

Articles 1877 – 1902

Philex Mining Corp., v. CIR, 551 SCRA 428 (2008)

China Air Lines, Ltd., v. CA, et al., G.R. No. L-45985

PAL, et al., v. CA, et al., G.R. No. L-46036, May 18, 1990

Sevilla v. CA, G.R. No. L-41182-3, April 15, 1988

2. EXCEPTION

Article 1883

Rural Bank of Borbon (Camarines Sur), Inc., v. CA, et al., G.R. No. 95703, Aug 03, 1992

D. DISTINCTIONS

1. Agency from Partnership

2. Agency from Loan

3. Agency from Guardianship

4. Agency from Judicial Administration

5. Agency from Lease of Property

6. Agency from Lease of Services

7. Agency from Independent Contractor

8. Agency from Negotiorum Gestio

9. Agency from Trust

10. Agency to Sell from Sale

11. Agency to Buy from Sale

Cases:

Authority to sell does not carry with it authority to sell on credit.

Green Valley Poultry and Allied Products, Inc. v. IAC, G.R. No. L-49395, Dec. 26, 1981

Breach of loyalty in agency

Domingo v. Domingo, G.R. No. L-30573, Oct. 29, 1971

Stipulation granting authority to sell in a mortgage is merely ancillary

Bicol Savings and Loan Association v. CA, G.R. No. 85302, March 31, 1989