JAMB Commerce 2000 Question 37

Question 37

Law of Agency

A bus driver operating between Lagos and Jos pledged the owner's credit in Benin in order to have the engine repaired and the bill sent to the owner. This is a case of

  1. A.del credere agency
  2. B.agency by necessity
  3. C.agency by ratification
  4. D.agency by estoppel.
Show the answer and explanation

Answer: B (agency by necessity)

Explanation

In an emergency, with no time to consult the owner, the driver acted to protect the owner's property: agency by necessity.