Under the Third Restatement, if a principal becomes incapacitated, the agency relationship terminates and all authority, including apparent authority, automatically ceases.

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Under the Third Restatement, if a principal becomes incapacitated, the agent's actual authority terminates, but their apparent authority may still exist until a third party is aware of the principal's incapacity or death. This is known as the "doctrine of apparent authority by estoppel."

Under the Third Restatement, If a Principal Becomes Incapacitated, the Agency