agency (noun, a-gen-cy, \ ˈeɪdʒənsi \) by estoppel (noun, es-top-pel, \ eˈstɑːpəl \)
Definition: is a legal relationship that occurs in situations when a person is allowed by an individual or a firm to operate in the role of an agent or worker for the said entity. This relationship is different from a formal agency since even though a company has permitted someone to act as an agent, it was issued in an unofficial manner. However, due to the presumption of agency, the organization can’t deny the existence of a legally bounding relationship.
In a Sentence:
- The fact of the agency by estoppel was proven in court when it became known that Mr. Eriksen was tasked with recruiting new salesmen for the company.
- TOE tried to deny its ties to Patrick Ornwell since they didn’t sign an official agreement, but it was clear that they were bounded through agency by estoppel.
- Even though I never was an official employee of Direct Power, I worked for them under agency by estoppel.
Synonyms and related words: presumption of agency, partnership by estoppel, estoppels, mutual agency, agency in fact
