Agency By Estoppel

Business, Legal & Accounting Glossary

Definition: Agency By Estoppel



What is the dictionary definition of Agency By Estoppel?

Dictionary Definition


The liability of a principal for all contracts entered into on his behalf by an agent acting within his apparent or ostensible authority is universally recognised.


Full Definition of Agency By Estoppel


The concept of agency by estoppel arises where one person acts in such a way that the other believes that a third person is authorised to act on his behalf and enters into a transaction with the third person, the person whose act induced him to do so, is liable for that agreement as if the third person acted on his behalf.

A Legally binding agency relationship that may arise where, in fact, no formal agency agreement is in effect. A principal may give an appearance of an agency relationship by, for example, furnishing his or her firm’s call cards or other stationery to the agent. In such cases, the existence of an agency may be presumed, and the principal may be bound by the acts of the agent performed on the principal’s behalf. Also sometimes referred to as presumption of agency.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/agency-by-estoppel/
Modern Language Association (MLA):
Agency By Estoppel. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. July 16, 2020 https://payrollheaven.com/define/agency-by-estoppel/.
Chicago Manual of Style (CMS):
Agency By Estoppel. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/agency-by-estoppel/ (accessed: July 16, 2020).
American Psychological Association (APA):
Agency By Estoppel. PayrollHeaven.com. Retrieved July 16, 2020, from PayrollHeaven.com website: https://payrollheaven.com/define/agency-by-estoppel/

Definition Sources


Definitions for Agency By Estoppel are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 27th December, 2019 | 1,718 Views.