By estoppel (Apparent/Ostensible authority) – Property for sale in Singapore
Agency relationship may be created when a principal, through statement or action, leads a third party to believe someone is his agent and the third party relies on it. In this case, the principal will be “estopped” from denying the existence of such agency relationship. Property for sale in Singapore.
For example: Seller tells buyer: “if you are interested to buy the property, you may contact Albert.” This comment makes the buyer believe that Albert is the Seller’s agent and enters into a contract. The Seller is bound by the contract and Albert’s representation. The Seller is estopped from disclaiming the agency. The Seller cannot say that he/she did not in the first place wanted to sell the property.
Three ingredients must be satisfied:
1) The representation must be made by the principal to the third party (if you are interested to buy the property, you may contact Albert).
2) The third party must have relied on the representation (buyer thinks that Albert is Seller’s agent).
3) There must be an alteration in the position of the third party resulting from the reliance on the representation (the buyer instead of negotiating with Seller’s directly, negotiate through Albert and concluded the deal).
Please click here to search for property for sale in Singapore.