A person who assumes to act as an agent is responsible to third persons as a principal for acts in the course of the agency in any of the following cases and in no other:

1. (1) when, with the agent's consent, credit is given to the agent personally in a transaction;
2. (2) when the agent enters into a written contract in the name of the principal without believing in good faith that the agent has authority to do so; or
3. (3) when the agent's acts are wrongful in their nature.

History: En. Sec. 3131, Civ. C. 1895; re-en. Sec. 5453, Rev. C. 1907; re-en. Sec. 7968, R.C.M. 1921; Cal. Civ. C. Sec. 2343; Field Civ. C. Sec. 1256; re-en. Sec. 7968, R.C.M. 1935; R.C.M. 1947, 2-212; amd. Sec. 813, Ch. 56, L. 2009.