Page:United States Statutes at Large Volume 76A.djvu/288

–192– -192Subchapter V—Delegation of Agency § 2781. Agent's delegation of powers An agent, unless specially forbidden by his principal to do so, may delegate his powers to another person only when: (1) the act to be done is purely mechanical; (2) it is such as the agent cannot himself, and the subagent can lawfully perform; (3) it is the usage of the place to delegate such powers; or (4) the delegation is specially authorized by the principal. § 2782. Unauthorized subagent If an agent employs a subagent without authority, the former is a principal and the latter his agent, and the principal of the former has no connection with the latter. § 2783. Authorized subagent A subagent, lawfully appointed, represents the principal in like manner with the original agent; and the original agent is not responsible to third persons for the acts of the subagent. Subchapter VI—Termination of Agency § 2801. Termination generally An agency is terminated, as to every person having notice thereof, (1) the expiration of its term; (2) the extinction of its subject; (3) the death of the agent; (4) the agent's renunciation of the agency; or (6) the incapacity of the agent to act as such. § 2802. Revocation, death, or incapacity of principal Unless the power of an agent is coupled with an interest in the subject of the agency, it is terminated, as to every person having notice thereof, by: (1) its revocation by the principal; (2) the principal's death; or (3) the principal's incapacity to contract. CHAPTER 77—FACTORS Sec.

2841. Factor defined. 2842. Actual authority of factor. 2843. Ostensible authority.

§ 2841. Factor defined A factor is an agent, as defined by section 2271 of this title. § 2842. Actual authority of factor I n addition to the authority of agents in general, a factor has actual authority from his principal, unless specially restricted: (1) to insure property consigned to him unmsured; (2) to sell, on credit, anything intrusted to him for sale, except such things as it is contrary to usage to sell on credit; but not to pledge, mortgage, or barter the same; and (3) to delegate his authority to his partner or servant, but not to a person in an independent employment. § 2843. Ostensible authority A factor has ostensible authority to deal with the property of his principal as his own, in transactions with persons not having notice of the actual ownership.

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