What is representative performance?

Prepare for the CA Foundation Business Law Exam with our comprehensive quiz. Utilize flashcards and multiple-choice questions, each complete with hints and explanations. Ace your exam confidently!

Representative performance refers to a situation where someone acts on behalf of another party in fulfilling the obligations of a contract. This typically involves a person who has been given the authority to perform the contract duties for another, which is fundamental in agency relationships.

In this context, the correct choice highlights that the performance is carried out by someone who has received authorization to act in this capacity. This is significant in commercial transactions where a principal may not be able to perform the contract personally due to various reasons such as geographic limitations or time constraints.

The other choices fail to capture the essence of representative performance accurately. Performance executed solely by the promisor does not involve representation, likewise, performance done without any authority does not align with the concept of acting on someone else's behalf. Consideration also must be given to performance by a legal representative, which, while partly accurate, does not convey the broader principle of authorization that encompasses various forms of agency relationships. Therefore, focusing on the aspect of being authorized to act on behalf of another is critical to understanding representative performance.

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