The Apparent Authority of an Agent Is Not Sufficient to Bind

question 50

True/False

The apparent authority of an agent is not sufficient to bind a principal in a contract with a third party which is negotiated after the agency relationship has been terminated.

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Definitions:

Financial Meltdown

A severe and sudden downturn in the financial markets, often leading to a loss of asset values and financial instability.

Facilitation Payments

Small payments made to expedite or facilitate routine government actions, often seen in a gray area between legitimate fees and bribery.

Obtain

To acquire or get possession of something through a purchase, effort, or request.

Retain

To keep or continue holding, possessing, or maintaining something or someone.