Multiple choice

An agency coupled with interest does not come to an end in case of the following

  1. death of the principal

  2. insanity of the principal

  3. insolvency of the principal

  4. all of these
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

An agency coupled with interest means the agent has a specific interest in the property/subject matter of the agency (like a pawnbroker or mortgagee). Unlike ordinary agencies, these special agencies DON'T terminate on the principal's death, insanity, or insolvency because the agent's interest is independent of the principal's continued existence. This makes D the correct answer.

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