Title x AGENCY (Arts, 1868-1932) 1, What is a contract of agency? agency a person binds himself, torender some service or to do something in Tepresentation or on behalf of another, with the consent or authority of the latter. (Art, 1868, NCC.) 2. What is the underlying Principle of the contract of agency? What is its purpose and basis? What is the legal fiction of qui facit per alium facit per se? The underlying Principle of the accomplish the results by usin, contract of agency is to reat variety of things like B the services of others — to do a selling, buying, manufacturing and Tepresentation, that is, rincipal on matters within his authority and said acts have the same legal effect Were personally executed by the Principal. By this legal fiction, the actual or real absence of the principal is converted into is legal or juridical presence — qui facit per alium facit per se. rotech Industrial Technologies, Inc. vs. Cuizon, GR. No. 167552, ril 23, 2007). the scope of as if they 3. What are the essential elements of a contract of 8gency? As a nominate contract, what are its basic and Peculiar characteristics? ANS: The essential elements of a contract of agency are: (1) there is Consent, express or implied, of the parties to establish the relationship of agency; (2) the object is the execution of a juridical acta third person (8) the agent acts 8 a represen a if and the agent acta within th soy te pe in Ralloe oe. Felix Go Chan & Sons, 81 SCRA 251)" “he ‘s nominate contract, it is consensual, preparatory g informal. Ta peculiar characteristics are: it is personal? et ‘representative; and itis derivative. Heated er end eros yn roca et he popermerint Wor theres Seat eave inte between Rel ed Roving ae inner wast opin. 08) ANS Ye Gey wea noma oma, On th stun thar eel requ fers end ems pec arhcln be pera ah eo ye omit contrac af ape, Arie 1868 he Neb at vig eta sfagetypenon nda inant eas service orto do something in representation or on behalf of anaes with the consent or authority ofthe latter. i 5. Distinguish between a contract ‘contract of lease of services. ANS: The two (2) contracts other in the following waye: of agency and s ‘may be distinguished from ea ‘rites discretionary powers in order © ‘merce inter fact? Pinte, whereas the ele ©) The fretis a * vacpal contract" P*POTAUOY contract, whereas the sends 1066 to eg 6. A.and B entered that the Iter shal ag whey Spaciendas Belonging tothe fet 284 manag” tt jptated that B shall hee ec ices of laborers to work aia at 9 cnt ta {hele compensation and than ci Ss tat br cht the property. What contract meg ate Prema track Of MERCY oF contract eet hc ANS: The ctr is sina tage cated on ender nr 20.3 gly shat ae nea ere ca Seis neces ac san given author oprah mage incr rmyaneigertaa ir compensation. He was gerne ange means neceanry toccomplsh endear ot tomake the acendas proce Hower re, ef the owner in thote hacen Cabin tc ieee Cnt Gor 8749) 7. Distinguish between « contract of agency and 4 contract with an independent contractor. ANS: The two (2) contracts may be dsingied from ech ‘other in the following ways: (1) Inthe first cntrat th pines cit, ‘whereas inthe second conte, uch nil need (2) Anagentis morc les under tbc efi incl, whereas an independent cna nt wl ntl te Berson with whom he contacts (3) Am agent binds is pcp rite Ut at tin ‘the scope of his authority, whereas a ioe ‘aM senerally cannot bind the pean with wins Be ost sete, jx eigece Cn {ea third personne ud ep bet of an agent, he can proceed agin the ‘fhe is injured through the faut or melas 10687{GATIONS AND CONTRACTS ‘ana teensnea _ OBLIOATION ST he cane pred aginst tho ETON With Whom ‘hod contracted fr dameres- (6) The first sa preparatory contract, whereas the secon ‘a principal contract. 4 Alefthiscar ata Shell Station, operated by B, toy a ‘and sprayed. When the car was being, DS t result t suffered damage estimated at P2,000.8ince the car ‘vis insured by X Insurance Co, the latter had to pay Pang TOA Upon payment of the amount, X Insurance Co. brough, suction against the Shell Co, of the Philippines to Stidamount The defendant Company interposed the defen That B, operator of the service station, is an indepen, contractor, consequently, t cannot be held liable. Is this correct? Reasons. ANS: The contention ofthe Shell Co, of the Philipines isnt carect. In two cases with similar facts, the Supreme Court ruled tht, the contract entered into between the Company and the operatareé ‘service station is a contract of agency. The operator ofthe serie ‘tation is not an independent contractor, but merely an agent afte Company because even the equipment which he uses in his serve station are owned by the Company and the oil, gasoline and other ‘products which he sells tothe public are soldat a commission (Shell Co. vs. Fireman's Insurance Co., L-5169 (1957); Africa ve. Calta Phil, 16 SCRA 448) 9. What are the different kinds of agency? ANS: Agency may be classified as follows: (1) As toconstitution: (4) Express — whon it ie expressly constituted. {&) Implied — (1 from the act ofthe principal, 2 his silence or inaction, oF (3) from his failure to repudiate tht SER tnowng that another ecting on his bl ith 1068 ‘onttcaTOns, — esen (2) Asta form: (a) Oral (Written (@) Astocause: (2) Onerous ~ when infor, ©) Gratuitous (A) Astocstent: (a) General ~ when it expres, pa rtey mpi lhe sien of (©) Special — when veo wee. a compe, see (6) Anto third persone: (a) Agentdejure (b) Agent by estopel ~ when «perme, mh tr ally an agent, represents himself repre ach competion — when theo apetion 10. Can there be perfected contract of aac if the acceptance by the agent is merely implied? "ANS: Yos, there canbe a peri oct of pn i be ‘ccoptance by the agent is merely implied Amin tthe ew, ‘cceptance by the agent maybe impli his cw fas tis Silene o inaction acrding othe creams 1872 NCC) ‘As far as acceptance by mere sence iain following rules shal goers: e ‘Between person who are pres esting my mpl cto packers pee {and the latter recsiven it witht bt. 107