Which of the Following Is True with Regard to Contractual

question 81

Multiple Choice

Which of the following is true with regard to contractual relations between the principal and a third party?

• A) There is no liability on the part of the principal if the agent acts with implied authority.
• B) An undisclosed principal and the third party are contractually bound if the agent acts within her actual authority, unless the contract specifies otherwise.
• C) A principal cannot be bound if the agent acts without any authority.
• D) An unidentified principal is bound only if the agent acts within the scope of actual authority.

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