. Marshall Small contracted with Howard Stern, a real estate agent, to negotiate the purchase of an office building. While working for Small, Stern discovered that the property owner would sell the building only as a package deal with another parcel. Stern therefore bought the two properties intending to resell the building to Small. When Small found out, he wanted to sue Stern. Advise Small (8 marks)

The agency system exist in business relationships daily. There are two parties in the agency system one is the principal and another the agent. An agent is a person acting on behalf of his principal. The agent is the connecting link between the principal and the third party.

B. Explain the creation of agency under the following, with the aid of an example for each. i

. Agency by Estoppel

ii. Agency of Necessity

y iii. Agency by Ratification

C. Describe TWO (2) ways in which an agency relationship may be brought to an end