What are the conditions under which agent is personally liable?


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  1. An agent is liable for breach of warranty of authority. He is liable to third parties when he exceeds his ostensible authority. He becomes liable to pay damages to the principal, when he exceeds his actual authority but acts within the ostensible authority and enters into contracts with third parties who are not aware of the curtailment of his authority.
  2. An agent cannot claim performance of a contract entered into by him apparently on behalf of the principal but really on his own account.
  3. An agent is personally liable
    1. When the contract expressly provides
    2. When he does not sign the negotiable instrument as agent
    3. When he acts for a foreign principal
    4. When he acts for an undisclosed principal
    5. When the agency is coupled with interest
    6. When the trade usage makes him liable, and
    7. When the principal cannot be sued as he is a minor or a foreign sovereign etc.

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