Brian Madigan LL.B., Broker
BRMadigan@iSourceRealEstate.com

RE/MAX West Realty Inc.,
Brokerage
Independently owned and operated

96 Rexdale Blvd. 
Toronto, Ontario 


Phone: 416-745-2300
Toll Free: 1-888-507-0817

 

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Agency without Disclosure

July 31, 2013 - Updated: July 31, 2013

 

This situation is one that arises with relative frequency.

 

The Agent (A) truly is an agent of the Principal (P), but just never tells anyone. It’s a secret agency. It’s not disclosed or referred to in any way.

 

In this case, of course, it is the FACT of the existence of the agency which is not disclosed that is in issue. Naturally, the necessary consequence of the identity of the principal is not disclosed.

 

The law here is quite clear. When the contract with the Third Party (T) is signed, the result is:

 

  • A has a contract with T
  • A may sue T
  • T may sue A

 

P has no rights under the agreement and may not sue T. But, P does have some rights as against A, however that would be under the A and P agency contract.

 

This type of agreement is enforced just as if no agency contract was in existence.

 

 

Brian Madigan LL.B., Broker

www.iSourceRealEsate.com


Tagged with: agency no agency disclosed identified communicated ontario law
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Brian Madigan LL.B. Broker

RE/MAX West Realty Inc. Brokerage

Independently owned and operated

96 Rexdale Blvd. , Toronto Ontario,

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