Undisclosed principal: Difference between revisions

Undisclosed principal (view source)

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 The question arises: who is liable for those executed transactions in the mean time? The [[broker]] doesn't know who the principal is, so can hardly take up matters with it directly. On the other hand, asset managers who act as agent will hotly deny any kind of liability, appealing to their regulatory status, meagre capitalisation, or sheer importance as a valued client in intimating that this ought to be the [[broker]]'s problem.  So much bunk - all of these reasons.
-An undisclosed principal is a {{tag|principal}} for whom an {{tag|agent}} acts where the agent does not reveal the {{tag|principal}}'s identity.  It is not - or ought not -  apply where an agent has neglected to mention the agency relationship altogether. An [[agent]] who has failed to reveal he is an agent at all (regardless for whom) - call that fellow an [[undisclosed agent]] - is better known as a [[principal]]. Or a liar.
+An undisclosed principal is a {{tag|principal}} for whom an {{tag|agent}} acts where the agent does not reveal the {{tag|principal}}'s identity.  It is not - or ought not -  apply where an agent has neglected to mention the agency relationship altogether. An [[agent]] who has failed to reveal he is an agent at all (regardless for whom) - call that fellow an [[undisclosed agent]] — is in this commentator’s contrarian opinion better known as a [[principal]]. Or a liar.
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