Arthur Is Authorized to Collect Accounts for Peter

question 27

True/False

Arthur is authorized to collect accounts for Peter. Peter dies, and there is no notice given to Theresa, who pays Arthur, as she has done in the past. Under the rules of the Third Restatement and the Uniform Durable Power of Attorney Act, if Arthur absconds with the money, Theresa will not have to pay again.

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Definitions:

Compensation Committee

A board committee responsible for setting and reviewing the compensation arrangements for the company's executives and directors.

Entrust

To give someone the responsibility of taking care or managing something with confidence in their integrity and ability.

Directors Liability

Refers to the legal responsibility of corporate directors for their actions and decisions, affecting both the corporation and its stakeholders.

Officers

Individuals appointed to manage the day-to-day operations of a corporation, typically holding positions like CEO, CFO, or COO.