Understanding the Liability of Agents and Principles in Contracts

The video discusses the liability of agents in torts and contracts. Agents are always liable for their own torts, even if the principal is also liable. In contracts, if an agent discloses their relationship with the principal to a third party, the principal is bound by the contract, and the agent is not liable. However, if an agent exceeds their express authority, they may still bind the principal if they have implied authority. If the agent does not disclose the agency relationship, they may be personally liable, and the principal is not bound.

In what situations can a principal be bound by the agent's implied or inherent authority?

What are the implications for an agent who does not disclose their agency relationship when entering a contract?