As against third persons, the agent cannot, by the exercise of his lien, deprive them of their existing rights in respect of the goods, except in so far as the principal could have done so1 or statute so provides2. An agent's lien on negotiable instruments and money entrusted to him is absolute, notwithstanding any defects in the title of the principal3, provided that, when the lien attached, the agent had no notice of any such defects4.
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