Traders C. Corp., Ltd. v. Radin Kamp, Inc.

Listenwalter & Gough, Inc., and the KaemperBarrett Corporation, Ltd., were corporations. They sold washing-machines and ironers to L. W. Clifford. The unpaid balance of their accounts with Clifford were assigned to appellant for collection. Respondent is a corporation operating a department store in the city of Fresno, wherein L. W. Clifford leased space and conducted the business of selling these washing-machines and ironers. He disappeared in January, 1931, leaving an unpaid balance of $3,153.11 due appellant’s assignors. This action is brought to recover judgment against respondent for this amount.

The evidence shows clearly that Clifford had no actual authority to order the merchandise for respondent or to have it charged to its account. If appellant is 'to recover at all it must do so upon the theory either of ostensible agency or estoppel.

Ostensible agency is defined by section 2300 of the Civil Code as follows: “An agency is ostensible when the principal intentionally, or by want of ordinary care, causes a third person to believe another to be his agent who is not really employed by him.”

The liability of a principal for the acts of an ostensible agent is defined by…