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An agent will be relieved from liability if third party knows that the agent is acting in excess of her authority.
An agent acts on behalf of a client and at the client's direction in exchange for monetary compensation. An agent is a person who effects a contract between his principal and a third party.
With regards to the above, there exist a contract between an agent and his principal.
Hence, an agent will be relieved from liability if third party knows that the agent is acting in excess of her authority.
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