Mandate in Civil Law: A Comprehensive Guide

Posted on Oct 19, 2024 in Law & Jurisprudence

Mandate

What is a Mandate?

A mandate is a contract where the Principal authorizes the Agent to perform legal acts on their behalf.

How Can a Mandate Be Granted?

According to Section 2807, a mandate can be granted:

  1. In a deed.
  2. In a signed and notarized letter, ratified by two witnesses.
  3. In a signed letter with two witnesses (without ratification).

General vs. Special Mandate

General Mandate

A general mandate grants the Agent broad authority to manage the Principal’s affairs and assets. It typically involves powers of administration, where the Agent safeguards the Principal’s interests and ensures the preservation and productive use of their property.

Special Mandate

A special mandate grants the Agent authority for specific tasks or types of business. The Principal defines the scope of the Agent’s powers in relation to the subject matter. Any mandate that is not a general mandate is considered a special mandate.

When is a Mandate Considered Vast?

A mandate is considered vast when it includes the following powers:

  1. Representation in litigation and collections.
  2. Management of all types of goods with administrative powers.
  3. Exercising acts of ownership (excluding donation).

Representative vs. Unrepresentative Mandate

Section 2816 states that the Agent can fulfill the mandate in their own name or the Principal’s name, based on their agreement. The former is a representative mandate, and the latter is not.

Representative Mandate

The Agent acts on behalf of the Principal and directly binds them to any agreements made within the scope of the mandate.

Unrepresentative Mandate (Imperfect Representation)

The Agent acts in their own name, even though authorized by the Principal. The Agent is directly liable to the third party, except when dealing with the Principal’s real estate.

Agent’s Obligations to the Principal

  1. The Agent must follow the Principal’s instructions and cannot act against their express provisions.
  2. The Agent must provide the Principal with a detailed account of their administration, as agreed upon, or upon the Principal’s request, or at the end of the contract.

How is an Injunction Granted?

An injunction can be granted through the same procedures as a regular mandate or in writing, submitted and approved by the grantor before a judge.

When Does a Court Order Require a Special Clause?

A special clause and court order are required for the Agent to:

  • Give up
  • Compromise
  • Commit to arbitration
  • Absolve and articulate positions
  • Sell goods
  • Receive payments
  • Perform other acts expressly determined by law

Termination of Mandate (Article 2851 of CCQR)

A mandate can be terminated due to:

  • Revocation
  • Agent’s resignation
  • Death of the Principal or Agent
  • Interdiction of either party
  • End of the contract period or conclusion of the business
  • Cases mentioned in Articles 562 and 623

Revocation of Mandate

Section 2852 states that a mandate can be revoked freely by either party at any time, even if it was stipulated as irrevocable. However, the revoking party must compensate the other for any damages caused by the revocation.

When is a Mandate Irrevocable?

A mandate is irrevocable when:

  1. It is a condition for a bilateral contract with a fixed term.
  2. It is a means for the Principal to fulfill an obligation.