Art. 1818.

Every partner is an agent of the partnership for the

purpose of its business, and the act of every partner, including the
execution in the partnership name of any instrument, for apparently
carrying on in the usual way the business of the partnership of which
he is a member binds the partnership, unless the partner so acting has
in fact no authority to act for the partnership in the particular matter,
and the person with whom he is dealing has knowledge of the fact that
he has no such authority.
An act of a partner which is not apparently for the carrying on of
business of the partnership in the usual way does not bind the
partnership unless authorized by the other partners.
Except when authorized by the other partners or unless they have
abandoned the business, one or more but less than all the partners
have no authority to:
(! Assign the partnership property in trust for creditors or on the
assignee"s promise to pay the debts of the partnership#
($! %ispose of the good&will of the business#
('! %o any other act which would make it impossible to carry on the
ordinary business of a partnership#
((! )onfess a *udgment#
(+! Enter into a compromise concerning a partnership claim or liability#
(,! -ubmit a partnership claim or liability to arbitration#
(.! /enounce a claim of the partnership.
0o act of a partner in contravention of a restriction on authority shall
bind the partnership to persons having knowledge of the restriction.
Art. 1868. 1y the contract of agency a person binds himself to render
some service or to do something in representation or on behalf of
another, with the consent or authority of the latter.
Art. 1876. An agency is either general or special.
2he former comprises all the business of the principal. 2he latter, one
or more speci3c transactions.
Art. 1877. An agency couched in general terms comprises only acts of
administration, even if the principal should state that he withholds no
power or that the agent may execute such acts as he may consider
appropriate, or even though the agency should authorize a general and
unlimited management.
Art. 1878. -pecial powers of attorney are necessary in the following
cases:
(! 2o make such payments as are not usually considered as acts of
administration#
($! 2o e4ect novations which put an end to obligations already in
existence at the time the agency was constituted#
('! 2o compromise, to submit 5uestions to arbitration, to renounce the
right to appeal from a *udgment, to waive ob*ections to the venue of an
action or to abandon a prescription already ac5uired#
((! 2o waive any obligation gratuitously#
(+! 2o enter into any contract by which the ownership of an immovable
is transmitted or ac5uired either gratuitously or for a valuable
consideration#
(,! 2o make gifts, except customary ones for charity or those made to
employees in the business managed by the agent#
(.! 2o loan or borrow money, unless the latter act be urgent and
indispensable for the preservation of the things which are under
administration#
(6! 2o lease any real property to another person for more than one
year#
(7! 2o bind the principal to render some service without compensation#
(8! 2o bind the principal in a contract of partnership#
(! 2o obligate the principal as a guarantor or surety#
($! 2o create or convey real rights over immovable property#
('! 2o accept or repudiate an inheritance#
((! 2o ratify or recognize obligations contracted before the agency#
(+! Any other act of strict dominion.
Art. 1879. A special power to sell excludes the power to mortgage#
and a special power to mortgage does not include the power to sell.
Art. 1880. A special power to compromise does not authorize
submission to arbitration.
Art. 1919. Agency is extinguished:
(! 1y its revocation#
($! 1y the withdrawal of the agent#
('! 1y the death, civil interdiction, insanity or insolvency of the
principal or of the agent#
((! 1y the dissolution of the 3rm or corporation which entrusted or
accepted the agency#
(+! 1y the accomplishment of the ob*ect or purpose of the agency#
(,! 1y the expiration of the period for which the agency was
constituted.
Art. 1920. 2he principal may revoke the agency at will, and compel
the agent to return the document evidencing the agency. -uch
revocation may be express or implied.
Art. 1921. 9f the agency has been entrusted for the purpose of
contracting with speci3ed persons, its revocation shall not pre*udice
the latter if they were not given notice thereof.
Art. 1922. 9f the agent had general powers, revocation of the agency
does not pre*udice third persons who acted in good faith and without
knowledge of the revocation. 0otice of the revocation in a newspaper
of general circulation is a su:cient warning to third persons.
Art. 1923. 2he appointment of a new agent for the same business or
transaction revokes the previous agency from the day on which notice
thereof was given to the former agent, without pre*udice to the
provisions of the two preceding articles.
Art. 1924. 2he agency is revoked if the principal directly manages the
business entrusted to the agent, dealing directly with third persons.
Art. 1440. A person who establishes a trust is called the trustor# one
in whom con3dence is reposed as regards property for the bene3t of
another person is known as the trustee# and the person for whose
bene3t the trust has been created is referred to as the bene3ciary.
Art. 1443. 0o express trusts concerning an immovable or any interest
therein may be proved by parol evidence.
Art. 1457. An implied trust may be proved by oral evidence
Art. 1444. 0o particular words are re5uired for the creation of an
express trust, it being su:cient that a trust is clearly intended.
Art. 1447. 2he enumeration of the following cases of implied trust
does not exclude others established by the general law of trust, but the
limitation laid down in Article (($ shall be applicable.
Art. 1448. 2here is an implied trust when property is sold, and the
legal estate is granted to one party but the price is paid by another for
the purpose of having the bene3cial interest of the property. 2he
former is the trustee, while the latter is the bene3ciary. ;owever, if the
person to whom the title is conveyed is a child, legitimate or
illegitimate, of the one paying the price of the sale, no trust is implied
by law, it being disputably presumed that there is a gift in favor of the
child.
Art. 1449. 2here is also an implied trust when a donation is made to a
person but it appears that although the legal estate is transmitted to
the donee, he nevertheless is either to have no bene3cial interest or
only a part thereof.
Art. 1450. 9f the price of a sale of property is loaned or paid by one
person for the bene3t of another and the conveyance is made to the
lender or payor to secure the payment of the debt, a trust arises by
operation of law in favor of the person to whom the money is loaned or
for whom its is paid. 2he latter may redeem the property and compel a
conveyance thereof to him.
Art. 1451. <hen land passes by succession to any person and he
causes the legal title to be put in the name of another, a trust is
established by implication of law for the bene3t of the true owner.
Art. 1452. 9f two or more persons agree to purchase property and by
common consent the legal title is taken in the name of one of them for
the bene3t of all, a trust is created by force of law in favor of the others
in proportion to the interest of each.
Art. 1453. <hen property is conveyed to a person in reliance upon his
declared intention to hold it for, or transfer it to another or the grantor,
there is an implied trust in favor of the person whose bene3t is
contemplated.
Art. 1454. 9f an absolute conveyance of property is made in order to
secure the performance of an obligation of the grantor toward the
grantee, a trust by virtue of law is established. 9f the ful3llment of the
obligation is o4ered by the grantor when it becomes due, he may
demand the reconveyance of the property to him.
Art. 1455. <hen any trustee, guardian or other person holding a
3duciary relationship uses trust funds for the purchase of property and
causes the conveyance to be made to him or to a third person, a trust
is established by operation of law in favor of the person to whom the
funds belong.
Art. 1456. 9f property is ac5uired through mistake or fraud, the person
obtaining it is, by force of law, considered a trustee of an implied trust
for the bene3t of the person from whom the property comes