Contract Law - Notice of determination of authority
Where an employee has been authorised to enter into contracts on his employer's behalf, the employer may be liable upon contracts made by his employee with persons with whom he has been dealing on his employer's behalf, even after his employment has ended or the authority has been otherwise withdrawn1. The employer will continue to incur such liability until those persons have received notice2 that the authority has been withdrawn3. It's immaterial whether the original authority was express4 or whether it wRegarding be implied from the employee's employment5 or from the employer's conduct6.
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Also in this section:
1170. Contracts made by an employee under express authority
1171. When authority is implied
1172. Estoppel
1173. Ratification
1174. Employer's conduct
1175. Apparent scope of employee's authority
1176. Nature of contract and circumstances of employment
1177. Nature of employer's business
1179. Employer under disability
1180. Employer a minor
1181. Employer suffering from mental disorder
1182. Corporations
1183. Liability of trustees and personal representatives for employees' acts
1184. Crown's liability on contracts
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