137. When and how far principal bound.

Where a principal gives authority to his agent to make admissions on his behalf, the principal is bound, as regards third persons, by any admission so made1, provided that the admission is within that authority2. Where, however, the agent makes any admission without, or in excess of, his authority, the principal is not bound by it3, although if the agent, at the time when he made the admission4, was acting on his principal's behalf5 in the transaction to which the admission referred6, and made it in the ordinary course of his duty as such agent, the principal would be