Agency: Ostensible
Glover
v. Cranford/St. Paul Guardian/State Fund/UEF [4/12/02] 2002 MTWCC 22 Under Montana law, an "ostensible agency is created when the principal
intentionally or by want of ordinary care causes a third person to believe
another to be his agent who is not really employed by him." Youderian
Const., Inc. v. Hall, 285 Mont. 1, 7, 945 P.2d 909, 912 (1997), citing
§28-10-103, MCA. "Ostensible authority is that which a principal, intentionally
or by want of ordinary care, causes or allows a third person to believe
the agent to possess." Youderian, 285 Mont. at 8, 945 P.2d at
913. |
Glover
v. Cranford/St. Paul Guardian/State Fund/UEF [4/12/02] 2002 MTWCC 22
Where the purported principal makes no representation and takes no action
which would lead a reasonable person to believe that it is in a joint
venture with an individual who is attempting to subcontract for the salvage
of a building, and the subcontract is extended without the belief that
the subcontractor is acting on behalf of the alleged principal, the subcontractor
is not an ostensible agent of the one alleged to be a principal.
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