Examlex
Determine whether the following two propositions are logically equivalent:
Principals
In a commercial context, the parties who enter into a contract or agreement, authorizing agents to act on their behalf in transactions.
Contracts
Legally binding agreements between two or more parties that create mutual obligations enforceable by law.
Actual Authority
The specific power given to an agent by a principal, derived from their agreement and can be express or implied based on their actions.
Apparent Authority
The perception by a third party that an agent has the authority to act on behalf of a principal, even if such authority has not been explicitly or implicitly granted.
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