How?
How is Mr. Dennegar liable for the credit card charges?
Seeking protection from the Truth In Lending Act, Mr. Dennegar argued that he did not enter into any contract with AT&T Universal. Mr. Dennegar's negligence of his finances in which he appointed Mr. Knutson as the manager makes him liable for all transactions (Mann, 2015).
Since Mr. Knutson acted as Mr. Dennegar's agent in financial affairs. We could also apply Restatement of Agency rules. We know from the trial that the defendant gave Mr. Knutson expressed authority to act on his behalf. That means that Mr. Dennegar was the principal and Mr.Knutson was the agent but did not fall under any fiduciary laws (DeMott, 2018).
The liability rules in vicarious liability or respondeat superior are also applicable because the duties Mr. Knutson performed for the defendant gave him direct benefit (Harper, 2019). The defendant's negligent supervision gave Mr. Knutson direct access to funds via checks he had express authority to sign, and Mr. Denneggar was unable to prove he had exercised reasonable care of his finances. His actions validate any household purchases by another person by failing to secure his assets (Harper, 2019).