Which of the Following Is Not True Regarding Notification of Agency

question 126

Multiple Choice

Which of the following is not true regarding notification of agency termination?

• A) Termination of an agency without appropriate notice to third parties does not extinguish an agent's actual authority to act on the principal's behalf.
• B) If proper notification of agency termination is not given to a third party, the agent still has apparent authority to bind the principal to contracts with third parties.
• C) Direct notice of agency termination is often in the form of a letter.
• D) Direct notice of agency termination must be given to all persons with whom the agent dealt.
• E) Direct or constructive notice of termination must be given to all third parties who have knowledge of the agency, but with whom the agent has not dealt.

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Definitions:

Ancient Cultures

Societies existing in the distant past, often characterized by unique developments in language, customs, society, and technology.

Mourners

Individuals who are in a state of grief or expressing sorrow for someone who has died, often participating in rituals or ceremonies related to mourning.

Rituals

Established patterns of behavior that are performed as part of a cultural or religious practice.

Binge Drinking

The consumption of an excessive amount of alcohol in a short period of time, often defined as five or more drinks for males and four or more drinks for females within about two hours.