Macke vs.

Jose Camps

Gr no. 2962 February 5, 1907

FACTS:

Macke and Chandler are business partners under the firm name of Macke, Chandler &
Company. They sold to Ricardo Flores, who represented himself as the agent of Jose Camps,
various goods at the Washington Café. Flores paid a P174 leaving a balance and informed them
that he does not have the necessary funds on hand and that he would have to wait for the return
of Jose Camps. However, Jose Camps failed to pay the said balance denying the authority of
Flores.

A written contract was introduced as evidence. The written contract shows that Galmes
(owner of the building) had subrented the building where the business was conducted which Jose
Camps signed as “sublessee” and Ricardo Flores’ signed as “managing agent.”

ISSUE: Whether or not Ricardo Flores is an agent of Jose Camps.

RULING:

YES. The SC ruled that the contract introduced as evidence sufficiently establishes the
fact that the defendant is the owner of the business and that Flores was in charge of the business;
performing duties usually entrusted to a managing agent.

One who clothes another apparent authority as his agent and holds him out to the public as such
cannot be permitted to deny the authority of such person to act as his agent, to the prejudice of
innocent third parties in good faith.

Unless the contrary appears, the authority of an agent must be presumed to include all the
necessary and usual means of carrying his agency into effect.

Therefore, Ricardo Flores as the managing agent has the authority to buy such supplies and that
he is acting within the scope of his authority and ordering the goods is binding on his principal,
Jose Camps.