MOOT COURT CASE

When Is an Agent Acting as an Agent?

Mateo was a new employee of Big Glove Sports, a manufacturer of 'sporting goods and sports equipment. A key product for Big Glove was its line of baseball gloves. The gloves were sold by Big Glove's agents and employees throughout the United States and Canada. The products were recognizable by the letters BGS emblazoned on the side of each glove produced by the company. After his mandatory training, Mateo was provided with a list of $20$ local retailers to contact during his first month as a salesperson for BGS$.$ Mateo visited most of the retailers in that first month, but rone were interested in buying BGS gloves or other products. Mateo, fearing that he might lose his job if he returned without a sale, decided to visit his second cousin, Jake, who owned a successful sporting goods store. Mateo believed that with his family connections, he might be able to make a sale.

Mateo explained to Jake that he was selling baseball gloves and asked Jake whether he was interested in buying. Jake said that he was in good shape with his line of gloves but would buy extra from Mateo because he was a family member. Mateo didn't have a company contract written up for Jake, so he used a generic contract that Jake had on hand. Mateo signed the contract and left several boxes of gloves with Jake. Mateo was so excited about the sale that he forgot to mention that he worked for BGS and did not refer to BGS in the contract. They shook hands on the deal, and Mateo headed for his next appointment, happily daydreaming about a grand reception on his return and his possible future promotion. While preoccupied with those thoughts, Mateo failed to see a red stop light and a good Samaritan $($GS$)$ helping a little old lady $($LOL$)$ across the street. Mateo collided with them, seriously injuring the GS and LOL. To make matters worse, back at the store Jake opened the box to see that the gloves had been damaged and could not be used or sold. The GS and LOL sued Mateo $($as an agent of BGS$)$ and BGS $($the principal$)$ for negligence. Jake sued Mateo $($as an agent of BGS$)$ and BGS $($the principal$)$ for breach of contract.

Could BGS be liable for Mateo's actions that injured GS and LOL?

Could Mateo and BGS be liable for breach of contract to Jake?