Contracts made by the factor of a manufacturing or commercial establishment or enterprise, when it is common knowledge that he belongs to a well-known enterprise or association, shall be understood as made for the account of the owner of such enterprise or association, even though the factor shall have failed to mention this fact at the time of making the contract; or that a breach of trust, transgression of powers, or appropriation of the goods, which are the subject of the contract is alleged, provided these contracts involve objects included in the transactions or business of the establishment, or if, not being of this kind, it should be proven that the factor acted according to orders from his principal, or that the latter approved his action in express terms or by positive acts.\nHistory —Commerce Code, 1932, § 204.
Puerto Rico Legal Code