Apparent Authority Exists If a Principal Causes a Third Party

question 30

True/False

Apparent authority exists if a principal causes a third party reasonably to believe that an agent has authority to act.

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Definitions:

Consonant-Vowel

A syllabic structure forming the basic building blocks of language, involving a consonant sound followed by a vowel sound.

Gambler's Fallacy

The erroneous belief that if an event occurs more frequently than normal during some period, it will happen less frequently in the future, or vice versa.

Roulette-Type Game

A gambling game in which players bet on which compartment of a revolving wheel a small ball will come to rest in.

Availability Heuristic

A mental shortcut that relies on immediate examples that come to mind when evaluating a specific topic, concept, method, or decision.