Mandate and Representation – Obligations of the principal

Mandate and Representation – Obligations of the principal

Art. 3010. Performance of obligations contracted by the mandatary. The principal is bound to the mandatary to perform the obligations that the man­datary contracted within the limits of his authority. The principal is also bound to the mandatary for obligations contracted by the mandatary after the termination of the mandate if at the time of contracting the mandatary did not know that the mandate had terminated. The principal is not bound to the mandatary to perform the obligations that the mandatary contracted which exceed the limits of the mandatary’s authority unless the principal ratifies those acts.

Art. 3011. Advantageous performance despite divergence from authority The mandatary acts within the limits of his authority even when he fulfills his duties in a manner more advantageous to the principal than was authorized.

Art. 3012. Reimbursement of expenses and remuneration. The principal is bound to reimburse the mandatary for the expenses and charges he has incurred and to pay him the remuneration to which he is entitled. The principal is bound to reimburse and pay the mandatary even though without the mandatary’s fault the purpose of the mandate was not accomplished.

Art. 3013. Compensation for loss sustained by the mandatary. The principal is bound to compensate the mandatary for loss the mandatary sustains as a result of the mandate, but not for loss caused by the fault of the mandatary.

Art. 3014. Interest on sums expended by the mandatary. The principal owes interest from the date of the expenditure on  sums expended by the mandatary in performance of the mandate.

Art. 3015 Liability of several principals. Multiple principals for an affair common to them are solidarily bound to their mandatary.