28-10-606. Extent to which principal bound by acts under ostensible authority. A principal is bound by acts of the principal's agent under a merely ostensible authority to those persons only who have in good faith and without ordinary negligence incurred a liability or parted with value upon the faith of the authority.
History: En. Sec. 3114, Civ. C. 1895; re-en. Sec. 5446, Rev. C. 1907; re-en. Sec. 7961, R.C.M. 1921; Cal. Civ. C. Sec. 2334; Field Civ. C. Sec. 1249; re-en. Sec. 7961, R.C.M. 1935; R.C.M. 1947, 2-205; amd. Sec. 809, Ch. 56, L. 2009.
Structure Montana Code Annotated
Title 28. Contracts and Other Obligations
Part 6. Rights and Liabilities of Principal
28-10-601. Accrual of rights and liabilities to principal
28-10-602. Principal's responsibility for agent's negligence, omissions, and wrongs
28-10-603. When instrument binds principal
28-10-604. When notice to principal or agent is notice to the other
28-10-605. Extent to which principal bound when agent exceeds authority
28-10-606. Extent to which principal bound by acts under ostensible authority
28-10-607. When principal bound by incomplete execution of authority
28-10-608. Rights of person who deals with agent without knowledge of agency
28-10-609. Principal's liability when agent given exclusive credit