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Lady_Fox [76]
2 years ago
8

Apparent authority in an agency relationship arises when the principal causes the agent to reasonably believe that he or she has

the authority to act.
SAT
1 answer:
Olegator [25]2 years ago
4 0

This is true. Apparent authority in an agency relationship arises when the principal causes the agent to reasonably believe that he or she has the authority to act.

<h3>What is apparent authority?</h3>

This can be defined to mean the power that may exist where a person is able to act on behalf of a principal.

This person is doing this although it was not explicitly stated for them to do so. The apparent authority is known to act in the United States, Australia and United Kingdoms in the same way.

It is based on the doctrines of legal agency. This is very necessary in constitutional law and also corporate law.

An example of this is a situation where an employee is known to represent a company in a contract. Apparent authority would play out by the employee signing the contract on behalf of the company

Read more on apparent authority here:

brainly.com/question/14831520

#SPJ1

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