AGENCY

Article 1317 Civil Code

Art. 1317. No one may contract in the name of another without being authorized by the latter, or
unless he has by law a right to represent him.

A contract entered into in the name of another by one who has no authority or legal
representation, or who has acted beyond his powers, shall be unenforceable, unless it is ratified,
expressly or impliedly, by the person on whose behalf it has been executed, before it is revoked
by the other contracting party. (1259a)

Article 1403
Art. 1403. The following contracts are unenforceable, unless they are ratified:

(1) Those entered into in the name of another person by one who has been given no
authority or legal representation, or who has acted beyond his powers;

What is a contract of agency?

What kind of act does the agent do for the principal? (Juridical act in relation to third persons, according
to Paras)

**the act of the agent creates the legal relation between the third persons and the principal**

Elements of agency

What is the importance of agency

A juridical person is a non-human legal entity that is not a single natural person but an
organization recognized/registered by law as a legal person such as a corporation.
Fiduciary relationship is one that is based in trust and confidence.
Capacity of principal same as that required for person to enter into contracts: of legal age, of
sound mind, etc
Agent incapacitated, raise the defense of incapacity against the principal
Agency vs Guardianship vs Judicial Administration vs Lease of Property vs Lease of goods vs
Independent contractor vs Trust vs Agency to Sell