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Ohio Farmers Insurance Co. v. Dakota Agency, Inc.
North Dakota Supreme Court (1996) | 551 N.W.2d 564; 1996 N.D. LEXIS 196; 1996 WL 411852
TL;DR: An insurance agency was held liable for its employee's unauthorized issuance of bonds because the action breached the clear terms of the agency agreement with the insurer, rendering separate tort-based agency law analyses unnecessary.
Legal Significance: This case establishes that an agent's liability to its principal can be determined solely by the unambiguous terms of their contract, which can override or render irrelevant defenses based on general common law agency principles like dual agency.