Entirely analogous to the law of warranty in the sale of goods is the warranty which the law imposes upon an agent that he is authorized to act as such. The agent either expressly, or by necessary implication of fact, represents that he is an authorized agent, and it was decided in Collen v. Wright 18 that the agent was liable as a warrantor. Cockburn, J., dissented from the decision of the court, and many legal thinkers have agreed with his dissent, on the ground that the plaintiff should not have been allowed to recover unless the agent knew of the falsity of his representations; but Collen v. Wright has been followed generally in the United States,19 and has been affirmed recently by the House of Lords in England.20 On this occasion the case of Deny v. Peek 21 was pressed upon the attention of the court and somewhat impatiently brushed aside by Lord Halsbury, who delivered the principal opinion, on the ground that Derry v. Peek was an action for deceit and in the case at bar the action was contractual. But Lord Halsbury hardly asserted that the contract in such a case is other than a fiction of law imposed upon the agent because of his misrepresentation."
17 87 8. Car. 87, 06, 68 S. E. 1041, 1044.
17a See tupra, 970. 18 7E.&B. 301, 8E. A B. 647.
19 See supra, 282.
20 Starkey v. Bank of England, [19031 A. C. 114. 21 14 App. Cas. 337.
Here again is a case where honest misrepresentation will render a person liable. In one respect, moreover, the doctrine in regard to an agent's warranty has been advanced by the late decision of the House of Lords beyond the analogy of warranty in the law of sales, and beyond the previous authority of Collen v. Wright.23 The defendant in Starkey v. Bank of England 24 did not purport to enter into a contract on behalf of his principal with the injured plaintiff. The defendant was a stock-bicker, and, as such, presented to the Bank of England, in good faith, at the request of a customer, a power of attorney purporting to be signed by the owner of certain consols, and thereby induced the bank to transfer the consols to a third person. In fact, one of the signatures on the power of attorney was forged.