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Question from Revision Kit (Agency law)
Which of the following is included in an agent’s ostensible authority?A The authority that the third party expects the agent to have
B The authority that the agent states that they have
C The authority that is usual in the circumstances and what the principal impliedly gives the agent
D The authority that the principal expressly gives the agentThe answer is C.
But I think that C is more relevant to implied authority.An agent’s apparent authority is determined by what the principal has represented to others.
A principal telling the agent their authority is express authority.
What a third party determines the authority to be based on what is usual in the circumstances is implied usual authority.Please help me with this question.
Thank you a lot in advanceAnswer A is nonsense – when dealing with someone, it’s not up to you to expect that person to have authority
Answer B is certainly not in the realms of ostensible authority
Answer D is clearly not ostensible – it’s express
So the only viable option is answer C
This wikipedia link sets it out quite well
https://en.wikipedia.org/wiki/Apparent_authority
OK?
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