1. Rock Starr is a famous musician who has hired Agnes Agent (on a handshake) to...

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1. Rock Starr is a famous musician who has hired Agnes Agent (on a handshake) to book musical gigs and venues for Rock and his band. Agnes has performed this service very well for three years. While visiting some friends in Del Boca Vista Estates, a very expensive neighborhood, Agnes spots a home that sports a sign: "For Sale by Owner". Agnes knocks on the front door and when Mr. Costanza, the owner/seller answers, Agnes presents him with a business card that reads "Agnes Agent - Exclusive Agent for Rock Starr". Seller Costanza tells Agnes that he wants $15 million for the property. Agnes offers $14.5 million on behalf of Rock, and Mr. Costanza eagerly accepts. Seller and Agnes sit down and commit the offer and acceptance to writing. Later that day, Agnes Agent calls Rock to give him the "good news" that he will soon be the proud new owner of the Costanza property. Rock exclaims, "Are you kidding? I've heard that only kooks live at Del Boca Vista. You better get me out of that deal and get back to your business of booking me gigs!" Do you see any problems on the horizon? Has Agnes operated "within the scope" of her agency (oral) agreement with Rock? If she has not, can Rock escape from the deal, or must he go through with it, and then sue Agnes? 1. Rock Starr is a famous musician who has hired Agnes Agent (on a handshake) to book musical gigs and venues for Rock and his band. Agnes has performed this service very well for three years. While visiting some friends in Del Boca Vista Estates, a very expensive neighborhood, Agnes spots a home that sports a sign: "For Sale by Owner". Agnes knocks on the front door and when Mr. Costanza, the owner/seller answers, Agnes presents him with a business card that reads "Agnes Agent - Exclusive Agent for Rock Starr". Seller Costanza tells Agnes that he wants $15 million for the property. Agnes offers $14.5 million on behalf of Rock, and Mr. Costanza eagerly accepts. Seller and Agnes sit down and commit the offer and acceptance to writing. Later that day, Agnes Agent calls Rock to give him the "good news" that he will soon be the proud new owner of the Costanza property. Rock exclaims, "Are you kidding? I've heard that only kooks live at Del Boca Vista. You better get me out of that deal and get back to your business of booking me gigs!" Do you see any problems on the horizon? Has Agnes operated "within the scope" of her agency (oral) agreement with Rock? If she has not, can Rock escape from the deal, or must he go through with it, and then sue Agnes? 1. Rock Starr is a famous musician who has hired Agnes Agent (on a handshake) to book musical gigs and venues for Rock and his band. Agnes has performed this service very well for three years. While visiting some friends in Del Boca Vista Estates, a very expensive neighborhood, Agnes spots a home that sports a sign: "For Sale by Owner". Agnes knocks on the front door and when Mr. Costanza, the owner/seller answers, Agnes presents him with a business card that reads "Agnes Agent - Exclusive Agent for Rock Starr". Seller Costanza tells Agnes that he wants $15 million for the property. Agnes offers $14.5 million on behalf of Rock, and Mr. Costanza eagerly accepts. Seller and Agnes sit down and commit the offer and acceptance to writing. Later that day, Agnes Agent calls Rock to give him the "good news" that he will soon be the proud new owner of the Costanza property. Rock exclaims, "Are you kidding? I've heard that only kooks live at Del Boca Vista. You better get me out of that deal and get back to your business of booking me gigs!" Do you see any problems on the horizon? Has Agnes operated "within the scope" of her agency (oral) agreement with Rock? If she has not, can Rock escape from the deal, or must he go through with it, and then sue Agnes?

Answer rating: 100% (QA)

Solution There are several potential problems on the horizon in this scenario Firstly Agnes Agent may have exceeded her authority as an agent for Rock ... View the full answer