Business Law 21-25

A(n) _ is a relationship between two parties created by an implied or an express agreement or by law, that empowers one of the parties by word or action to legally bind the other.

• Agency

• Agent

• Principal

• Authority

The person who so empowers another to enter into legal relationships in his or her behalf is the _.

• Agent

• Principal

• Client

• Role model

The party so empowered is the _.

• Client

• Agent

• Principal

• Student

A _ is imposed by law on the agent.

• warranty of the principal's capacity

• scope of authority

• power of attorney

• implied authority

An agent must act within the granted _ in order to bind the principal.

• warranty of the principal's capacity

• scope of authority

• express authority

• implied authority

_ is communicated directly by the principal to the agent.

• warranty of the principal's capacity

• express authority

• implied authority

• apparent authority

Any writing that appoints someone as an agent is called a _.

• power of attorney

• agent

• principal

• independent contractor

_ is the power to do anything that is reasonably necessary or customary to carry out the duties expressly authorized.

• express authority

• implied authority

• power of attorney

• apparent authority

_ is the authority that the principal, with knowledge or through negligence, permits the agent to assume, or which the principal holds the agent out as possessing.

• express authority

• implied authority

• power of attorney

• apparent authority

The approval of a previously unauthorized act, or an act outside the agent's scope of authority is called

• implied authority

• ratification

• apparent authority

• express authority