Law 6

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Law

Form of Acceptance by Agent


There must be consent by BOTH parties.
It does not depend upon the express appointment and acceptance.
Article 1871. Between persons who are present, the acceptance of the agency
may also be implied if the principal delivers his power of attorney to the agent
and the latter receives it without objection.

Implied Acceptance – where the persons are PRESENT


Agent receives a power of attorney from the principal himself
Personally, without any objection (Both being present)
Power of Attorney (POA)
It is an instrument in writing by which one person, as principal, appoints another
as his agent and confers upon him the authority to perform certain acts or kinds
of acts on behalf of the principal.
Purpose of Power of Attorney
Primary purpose – to evidence the authority of the agent to third parties within
whom the agent deals; and the person holding a power of attorney is shown and
designated as an “attorney-in-fact,” thus distinguishing such person from an
attorney-at-law.

Construction of Powers of Attorney


Rule of strict construction – POA must be strictly construed and strictly
pursued.
o The act done must be legally identical with that authorized to
be done.
o Moreover, where the mode of exercising their power is
prescribed in the instrument in which it is created, there must
be strict compliance therewith in every substantial particular.
Qualification of the rule – rule is NOT ABSOLUTE and should not be
applied to the extent of destroying the very purpose of the power.
Article 1872. Between persons who are not absent, the acceptance of the
agency cannot be implied except:
1. When the principal transmits his power of attorney to the agent, who
receives it without any objection;
2. When the principal entrusts to him by letter or telegram a power of
attorney with respect to the business in which he is habitually
engaged as an agent, and he did not reply to the letter or telegram.
Implied Acceptance – where the persons are ABSENT
If both the P&A are absent, acceptance by the agent is not implied from
his silence or inaction. He may simply ignore the offer.

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