- 31 - is an independent contractor and as such * * * [petitioner] has no direction and control over the personnel or business activities of * * * [publisher]. * * * [publisher] is not the agent of * * * [petitioner] and shall not incur any expenses, bills, indebtedness or obligations for or in the name of * * * [petitioner] and shall save * * * [petitioner] harmless from any liability whatsoever as a result of * * * [publisher’s] business activities. The manner in which the parties to an agreement designate their relationship is not controlling. Board of Trade v. Hammond Elevator Co., 198 U.S. 424, 437 (1905). A true agency relationship may be established despite the parties' designation to the contrary. See id. at 438 (quoting Connecticut Mutual Life Insurance Co. v. Spratley, 172 U.S. 602, 615 (1899)). In the instant case, we conclude that the agreements manifested an intent that BWE and McKnight would act on behalf of petitioner in conducting the sale of advertising. The agreements provided that BWE or McKnight (as the case might be) "has full authority to use the good name of * * * [petitioner] during the course of the earnings program." Additionally, the agreements provided a payment collection procedure in which "All checks or money orders received as a result of the solicitation shall only be made payable to * * * [petitioner]." By providing BWE and McKnight with the authority to use petitioner's name and to collect petitioner's solicitation payments, the agreements authorized those companies to act on behalf of petitioner in conducting the sale of advertising.Page: Previous 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 Next
Last modified: May 25, 2011