A principal ordinarily does not have liability to third parties for contracts made within the actual or the apparent scope of an agent's authority.

Question

A principal ordinarily does not have liability to third parties for contracts made within the actual or the apparent scope of an agent's authority. ​

Quizplus · Accepted Answer

A principal is typically liable to third parties for contracts made by an agent within the actual or apparent scope of the agent's authority, as the agent is acting on behalf of the principal in these transactions.

A Principal Ordinarily Does Not Have Liability to Third Parties