John should mention the problem to the buyer because it's a material fact.
What is the Law of Agency?
- The legal connection between two parties in which one delegated to the other the power to act on their behalf is governed by agency law.
- A person who represents another is referred to as an agent. The principal is the person who delegated authority to the agent.
- The relationship between agents, principals, and other parties who work with them is also outlined under agency law.
- The principle is responsible for the actions of the agent that are taken in accordance with the agent's authorization.
- When the principal appoints someone as an agent through a contract or requests someone to supply something, an agency is established.
- As a result, the agent's actions are equivalent to those of the principle, and the principal is liable for all of the agent's conduct.
- A written contract established through the power of attorney is typically used to enforce this kind of agency.
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