161. Warranty of authority implied.

Where any person purports to do any act1 or make any contract as agent on behalf of a principal, he is deemed to warrant2 that he has in fact authority from such principal to do the act3 or make the contract4 in question. If, therefore, he has no such authority5, he is liable to be sued for breach of warranty of authority by any third person who was induced by his conduct in purporting to act as agent to believe that he had authority to do the act or make the contract, and who, by acting upon such belief,