145. Unauthorised dispositions not binding on principal.

Where an agent is entrusted with any money, goods, or other property belonging to his principal, as a general rule1, no disposition of such property made by the agent without the authority of the principal is binding upon the principal2; and, notwithstanding any such disposition, the principal is entitled to follow the property into the hands of third persons and recover it3 or its value4.

Where an agent is entrusted by his principal with property to be applied for the purposes of the principal, and to be accounted for on that footing, he is in a fiduciary position, and a