If an Agent Is Acting Within His or Her Authority

question 76

Multiple Choice

If an agent is acting within his or her authority on a contract involving an undisclosed principal,which of the following is true regarding the agent's liability?

• A)The law would not hold the agent liable on the agreement.
• B)The law will likely hold the agent liable for the agreement.
• C)The law will hold the agent liable for the agreement unless the contract the agent had with the principal impliedly or expressly provided that the agent would not be held liable in such cases.
• D)The law will hold the agent liable for the agreement unless a contract for under $1,000 is involved in which case only the principal would be held liable.
• E)The law will hold the agent liable for the agreement unless the contract the agent had with the principal expressly provided that the agent would not be held liable in such cases.

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Definitions:

Direct Taxation

Taxes that are imposed directly on an individual's income or wealth, and on corporations' profits.

Tenth Amendment

An amendment to the U.S. Constitution that states powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.

Antifederalists

Individuals who opposed the ratification of the Constitution in 1787, fearing centralized power and a lack of protections for individual rights.

National Supremacy

The principle that federal law takes precedence over state law in the United States.