What is the primary legal framework governing the law of agency in Malaysia?

• Partnership Act 1961

• Contract Act 1950

• Sale of Goods Act 1957

• Companies Act 2016

Which of the following best defines an agent according to the Contract Act 1950?

• A person who hires employees on behalf of a company.

• A person who acts on behalf of another in dealings with third parties.

• A person who manages a business without authorization.

• A person who represents a company in court.

What is the age requirement for someone to be a principal under the Contract Act 1950?

• 16 years

• 18 years

• 21 years

• 25 years

Which of the following is NOT a method of forming an agency?

• By express appointment

• By implied appointment

• By mutual agreement

• By necessity

In which situation can an agency by necessity be created?

• When the agent exceeds their authority.

• When the principal has expressly forbidden the action.

• When it is impossible for the agent to obtain the principal's instructions.

• When the agent is under the age of 18.

What type of agent is responsible for ensuring that the principal is paid by the third party?

• Broker

• Factor

• Del Credere Agent

• Commission Agent

Which of the following rights does a principal have towards an agent?

• To delegate the agent's authority

• To prevent the agent from earning commission

• To indemnify the agent for authorized expenses

• To terminate the agency without reason

What must an agent do if they have received sums on behalf of the principal?

• Keep the money for personal use

• Pay the sums to the principal

• Donate the money to charity

• Invest the money in stocks

Which type of authority is not expressly given by the principal but is assumed to exist?

• Actual Authority

• Apparent Authority

• Implied Authority

• Express Authority

Under what circumstance can a principal ratify an unauthorized contract made by an agent?

• The contract must be unlawful.

• The contract must have been made with a minor.

• The principal must have full knowledge of all material facts.

• The principal must be present at the time of contract formation.