173. Agent not entitled to remuneration for business misconducted
Feedback & supportAn agent who is guilty of misconduct in the business of the agency is not entitled to any remuneration in respect of that part of the business which he has misconducted.
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A employs B to recover RM100,000 from C, and to lay it out on good security. B recovers the RM100,000 and lays out RM90, 000 on good security, but lays out RM10,000 on security which he ought to have known to be bad, whereby A loses RM2,000. B is entitled to remuneration for recovering the
RM100,000 and for investing the RM90,000. He is not entitled to any remuneration for investing the RM10,000, and he must make good the RM2,000 to A.
A employs B to recover RM1,000 from C. Through B’s misconduct the money is not recovered. B is entitled to no remuneration for his services, and must make good the loss.