Danish and Norwegian Law Sample Clauses

Danish and Norwegian Law. Agency exists when the intermediary acts in a different name. The intermediary will set up rights and obligations for the principal contributor by his transactions and he himself stands outside the contract. In most cases the ship management agreement will include provisions about the manager's right to enter into certain agreements in the owner's name. In this respect the management agreement works as a power of attorney and the Danish and Norwegian Contracts Act hereof govern the more detailed provisions. An absolute requirement in order for the agent not to be bound is that he actually acts in the principal's name. If the third party has not been informed that there is a principal behind the manager who is supposed to be the third party's other contracting party even the principal cannot require to be made a party to the contract29. The reason for this rule is that it is said that the third party needs to know with whom he is doing business. The agency agreement per se between the owner and the manager is not enough to inform the third party that the owner is the contracting party, as there are various circumstances concerning the general authority in section 10 of the Danish Contracts Act and section 18 of Danish Contracts Act about authority without special statement. As a general rule the authority 29 Xxxxx Xxxxxxxx, Mads. Enkelte Transaktioner, Aftaleretten III. Copenhagen, 2004, p. 150 does not include any obligation but a right for the manager to act in the owner's name. The authority is thus a document of competence and it is therefore necessary that the manager at the conclusion of the contract clearly state that he merely acts as the owner's representative and does not want to enter into a legal relationship with the third party. What are the requirements in order for it to be considered disclosed that the manager acts in another person's name? It has to be decided from an assessment of evidence30. If the manager has made it clear to the third party that he acts as an agent and who the principal is, he will not be bound by the transactions and the manager may thus not be considered the contracting party. This legal effect or sanction may also follow the rules and principles of the determination - "interpretation" - of the legal effects of contracts towards third parties that acquire or infer rights from the contract on the basis of objective conditions and without any special consideration for the contracting parties' subjective conditions and ...
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