59-6-8. Setoff by person dealing with agent without knowledge of agency.One who deals with an agent without knowing or having reason to believe that the agent acts as such in the transaction, may set off, against any claim of the principal arising out of the same, all claims which he might have set off against the agent before notice of the agency. Source: CivC 1877, §1372; CL 1887, §3995; RCivC 1903, §1691; RC 1919, §1273; SDC 1939, §3.0308.
South Dakota Legal Code