The correct answer is D. All statements are true.
The agency extends to receiving notice on behalf of whatever in material to be stated in the course of the proceedings. For this rule to operate, the following must be true:
- The agent must be under a duty to communicate. This means that the agent must have been authorized by the principal to receive notice on their behalf.
- The information must be material. This means that the information must be important enough to affect the principal’s rights or interests.
- It must have been obtained in the course of business for which the agent has been engaged. This means that the agent must have obtained the information while acting on behalf of the principal.
- The agent is not privy to a fraud on the principal. This means that the agent must not have been involved in any deception or fraud against the principal.
If all of these conditions are met, then the agent will be considered to have received notice on behalf of the principal. This means that the principal will be bound by any actions taken by the agent in response to the notice.
For example, if an agent is authorized to receive notices of lawsuits on behalf of their principal, and they receive a notice of a lawsuit, they must notify the principal of the lawsuit. If the principal does not respond to the lawsuit, the agent may be able to take action on their behalf, such as filing a response or appearing in court.
It is important to note that the agency relationship does not extend to receiving notice of all types of information. For example, if an agent is not authorized to receive notices of lawsuits, they will not be considered to have received notice of a lawsuit even if they are aware of it. Additionally, if the information is not material, the agent will not be considered to have received notice even if they are authorized to receive it.