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134 Tee law of agency.

CHAPTER VI.

DETERMINATION OF AGENCY.

The relationship of principal and agent may be terminated

either by the act of the parties themselves, or by operation

of law,

1. By Act of Parties. ВЂ” (a) It may be terminated by

mutual agreement.

(6) It may be terminated by the revocation of the

authority on the part of the principal ; or by the renunci-

ation of the authority on the part of the agent.

Revocation by Principal. — Generally speaking, a prin-

cipal has a right to revoke the authority of his agent, at

his will, any time before it is executed. And even if the

authority has been partly executed, provided it admits of

severance, it may be revoked as to the unexecuted part

— vide Smith's Mercantile Law (10th ed. p. 159), and the

following cases : вЂ

Vynior'fi case, 8 Co. 82a, Farmer v. Bohinson ( 1809),

2 Camp. SSHn., Campanari v. Woodburn (1854), 15 C. B.

400, and Warwick v. Sladc (1811), 3 Camp. 127. In the

last case the Court held that the authority of a broker em-

ployed to effect a policy of insurance may be revoked after

the underwriters have signed the slip, until such time as

tliey have actually subscribed the policy.

Venniwj v. Bray (18G2), 2 B. & S. 502 ; here it was

laid down that, excepting in those few cases where an

DETERMINATION OF AGENCY. 135

authority is irrevocable, it is revocable even though con-

ferred by deed.

Bead v. Anderson (1882), L. R 10 Q. B. D. 100 ; here

Hawkins, J., said; "As a general rule, a principal is no

doubt at liberty to revoke the authority of his agent at

his mere pleasure."

Alexander v. Davies and Company (1885), 2 T. L. R.

142 ; Here it was decided that the employment of a com-

mission agent in London could be determined at will by

the principal.

Henry v. Loiuson (1885), 2 T. L. R. 199 ; here it was

decided that the employment of an agent could be deter-

mined at the will of the principal.

Doivard, Dickson and Coin2Jany v. Williams and

Company (1889), 6 T. L. R. 316 ; here the Court held that

where a man had authorized an agent to collect debts for

him at a commission for five years, he could revoke such

authority at his will.

Where an authority has been conferred on an agent by

two or more principals jointly, it may be revoked by any

one of those principals — vide Bristow v. Taylor (1817), 2

Stark. 50.

A principal may revoke the authority either expressly,

or impliedly ; thus, it would be impliedly revoked if the

principal appointed another person to do the same work

as the agent, in a case where it was necessarily incom-

patible for both persons to act as agents in the matter.

Limitations on a Principal's Right of Revocation. — An

authority is, of course, irrevocable, where it is expressly

agreed, upon good consideration, that it shall be so ; but

It is essential that there shall be good consideration for an

agreement not to revoke, for otherwise it would merely be

a " nudum pactum."

Smart v. Sandars (1848), 5 C. B. 895 ; here Wilde,

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