Question:Which of the following would not be a characteristic of the principal-agent relationship?
A. The agent must account for the money he has gained working on his principal's behalf.
B. The agent should keep in confidence what he knows of the principal's affairs even after the agency relationship has ceased.
C. The agent may disobey the principal if he believes disobedience is in the principal's best interests.
D. If the agent has not been paid, he is not bound to carry out his agreed duties.
E. The agent normally has a duty to perform the task himself and not delegate it to other people.
The correct answer is: The agent may disobey the principal if he believes disobedience is in the principal's best interests.
The agent cannot disobey the principal for this reason. He can disobey the principal if the principal requires him to carry out an illegal act.
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