Question

jordan was a salesperson at deluxe, inc. for 20 years and had many long-standing accounts. when the board members at deluxe, inc. decided to terminate jordan's employment, they did not inform the customers for fear that they would be upset and find another supplier. which of the following is true in the context of this scenario? a. deluxe, inc. cannot be harmed by jordan and does not need to inform the customers. b. jordan cannot bind deluxe, inc. regardless of whether the customers know about the termination, because he has been terminated. c. deluxe, inc. violated their fiduciary duty in terminating jordan. d. jordan can still bind deluxe, inc. because they did not inform the customers.

Answer 1

Jordan cannot bind Deluxe, Inc. after his termination, even if customers were not informed of his departure. His termination removes any authority to make agreements or enter contracts on behalf of Deluxe, Inc.

Therefore the correct answer is option B. jordan cannot bind deluxe, inc. regardless of whether the customers know about the termination, because he has been terminated

Step-by-step explanation:

In the scenario described, the correct answer is that Jordan cannot bind Deluxe, Inc. regardless of whether the customers know about the termination, because he has been terminated. Once Jordan's employment has been terminated by Deluxe, Inc., he no longer has the authority to enter into contracts or agreements on behalf of the company. The company's decision not to inform customers of Jordan's termination does not in itself give Jordan any continued authority to bind the company.

While there may be other business considerations or legal issues surrounding the termination of an employee with long-standing accounts, such as potential violations of ethical responsibilities or the duty of good faith and fair dealing, these do not directly pertain to the authority of Jordan to continue to bind Deluxe, Inc. It is important for Deluxe, Inc. to communicate the change in representation to its customers to prevent any confusion and ensure the continuance of good business relationships.\