Richard Filip owned Trans Texas Properties. Tracy Peoples was an employee of the company. In order to

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Richard Filip owned Trans Texas Properties.

Tracy Peoples was an employee of the company.

In order to obtain credit to advertise in the Austin American-Statesman newspaper, which was owned by Cox Enterprises, Inc., Peoples completed a credit application that listed Jack Elliot as a partner in Trans Texas. Evidence showed that Elliot did not own an interest in Trans Texas and did not consent to or authorize Peoples to make this representation to Cox. Cox made no effort to verify the accuracy of the representation and extended credit to Trans Texas. When Trans Texas defaulted on payments owed Cox, Cox sued both Filip and Elliot to recover the debt. Is Elliot liable? Explain.

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