Ellen Fishman Was Hired by Attics,Inc

question 44

Multiple Choice

Ellen Fishman was hired by Attics,Inc.,a company that does attic refurbishments and redesigns,to evaluate attics,provide homeowners with estimates,and,hopefully,sign them up with contracts for their attics.Ellen provided an estimate of $11,000 to the Kornbluths for a redesign of their attic.Because she was new at the job,Ellen forgot the demolition costs in the estimate.However,the Kornbluths signed a contract Ellen presented and put down a 10% deposit of $1100.Attics,Inc.'s president has refused to do the attic for anything less than $15,000,what the estimate should have been.The Kornbluths have no experience with remodeling and had only one other estimate for the refurbishment,which was $12,500.Attics,Inc.terminated Ellen.However,Ellen still had all the materials,books,contract forms,and her card from Attics,Inc.Ellen went out and got three homeowners to sign contracts for refurbishments for prices ranging from $15,000 to $22,000.If Attics,Inc.performed the contracts Ellen negotiated,it would:

• A)need to take steps to terminate Ellen's implied authority.
• B)need to take steps to terminate Ellen's apparent authority.
• C)need not take any further steps because Ellen's authority was terminated and it was just ratifying the contracts.
• D)none of the above

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Definitions:

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Treatment using exposure to specific wavelengths of light used to address disorders like seasonal affective disorder (SAD).

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