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The second is where the terms of the contract are inconsistent with company. In HUMBLE v HUNTER15, an agent signed a charter-party in his personal name and described himself as âownerâ of the ship. It was held that his undisclosed principal couldn’t sue. CIRCUMSTANCES WHEN AN AGENT MAY BE HELD PERSONALLY LIABLE If an agent continues to behave after his authority has been terminated, he might incur personal liability for breach of implied warranty of authority. Sometimes an agent may suffer a potential danger when his authority is terminated mechanically without his knowledge. In the case of YONGE v TOYNBEE13 where solicitors had been acting in litigation for a client who, unknown to them, became mentally incapacitated so that the company was considered to be terminated.
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