In relation to each of the following statements, identify and explain the way in which the agency relationship has been established.

a. X consigned his automobile to Z with instructions to sell same immediately. Z was a mercantile agent. Z used the vehicle as security for a loan from Y, who knew nothing about X or his instructions to Z.

b. Z, a common carrier, transported perishable goods for X. The goods started to spoil, and Z was unable to contact X, who had left the country on an extended vacation. Z sold the goods to Y and received a reasonable price with regard to the condition of the goods.

c. X executes a power of attorney in favour of Z, authorizing Z to sell specific land described in the power of attorney.

d. X, without the authority of Z, sells certain of Z's furniture at a garage sale. Shortly after the sale, Z learns of it and approves of X's actions

Business Law in Canada