A Corporate Agent Is Not Personally Liable on a Contract

question 37

True/False

A corporate agent is not personally liable on a contract entered into on the corporation's behalf unless the agent expressly agrees to such liability.

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Definitions:

Recognition Heuristic

A decision-making process where familiarity with a subject or thing makes it more likely to be chosen over unfamiliar options.

Behavioral Economics

A field of economic research that integrates psychological insights into human behavior to explain economic decision-making.

Negative Emotional Associations

Refers to the unfavorable feelings or emotions that are linked to a particular concept, object, or situation due to past experiences or perceptions.

Self-Serving Bias

The common habit of a person taking credit for positive events or outcomes, but blaming outside factors for negative events.