Why is the agent able to be held liable on a contract when the existence of the agency

arrangement was not disclosed?

A) Because the third party could rely on the reputation of only the agent when entering into
the contract
B) So that the outcome in a contract situation is the same as that for a tort
C) To discourage the use of undisclosed agency arrangements
D) To ensure that the principal fulfills its obligations under contracts negotiated by
authorized agents
E) To offset the fraud frequently present is this situation

A