Questions: Clarence goes out shopping, and using his wife Maria's credit card, he buys 221 worth of groceries. Under agency law, Maria will probably be deemed: a. not liable for the purchase, based on Clarence's lack of a power of attorney. b. liable for the purchase, based on the doctrine of respondeat superior. c. not liable for the purchase, based on Clarence's duty of performance. d. liable for the purchase, based on the creation of an agency by operation of law.

Clarence goes out shopping, and using his wife Maria's credit card, he buys 221 worth of groceries. Under agency law, Maria will probably be deemed:
a. not liable for the purchase, based on Clarence's lack of a power of attorney.
b. liable for the purchase, based on the doctrine of respondeat superior.
c. not liable for the purchase, based on Clarence's duty of performance.
d. liable for the purchase, based on the creation of an agency by operation of law.
Transcript text: Clarence goes out shopping, and using his wife Maria's credit card, he buys $\$ 221$ worth of groceries. Under agency law, Maria will probably be deemed: a. not liable for the purchase, based on Clarence's lack of a power of attorney. b. liable for the purchase, based on the doctrine of respondeat superior. c. not liable for the purchase, based on Clarence's duty of performance. d. liable for the purchase, based on the creation of an agency by operation of law.
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Solution

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Answer

The answer is d. liable for the purchase, based on the creation of an agency by operation of law.

Explanation
Option a: not liable for the purchase, based on Clarence's lack of a power of attorney.

A power of attorney is a legal document that grants one person the authority to act on behalf of another. However, in many cases, a formal power of attorney is not necessary for a spouse to use the other's credit card, especially if there is an implied or express agreement between them. Therefore, the lack of a power of attorney does not automatically make Maria not liable.

Option b: liable for the purchase, based on the doctrine of respondeat superior.

The doctrine of respondeat superior applies primarily in employer-employee relationships, where an employer is held liable for the actions of an employee performed within the scope of employment. This doctrine is not applicable in the context of a spouse using a credit card.

Option c: not liable for the purchase, based on Clarence's duty of performance.

The duty of performance refers to an agent's obligation to perform tasks as agreed upon with the principal. This option does not directly address the liability of Maria for the credit card purchase.

Option d: liable for the purchase, based on the creation of an agency by operation of law.

Agency by operation of law can occur in situations where one party acts on behalf of another, and the law recognizes this relationship due to the circumstances. In many jurisdictions, spouses are often considered to have an implied agency relationship, especially in matters related to household expenses. Therefore, Maria could be deemed liable for the purchase made by Clarence using her credit card.

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