Answer First
Primary Text
The principal is not liable for the expenses
incurred by the agent in the following cases:
(1) If the agent acted in contravention of the principal's
instructions, unless the latter should wish to avail himself
of the benefits derived from the contract;
(2) When the expenses were due to the fault of the agent;
(3) When the agent incurred them with knowledge that
an unfavorable result would ensue, if the principal was
not aware thereof;
(4) When it was stipulated that the expenses would be
borne by the agent, or that the latter would be allowed
only a certain sum. (n)
CHAPTER 4 Modes of Extinguishment of Agency
Use With Care
Definitions and exceptions often appear before or after this text.
Court decisions may interpret, limit, or apply this provision.
Confirm amendment, repeal, effectivity, and official publication.
Plain Language