Which type of liability does a principal have when it authorizes an agent to engage in an act and the agent intentionally or unintentionally falsifies his or her role?
A) Misrepresentation liability
B) Vicarious liability
C) Ratification liability
D) General liability
E) Strict liability

Question

Quizplus · Accepted Answer

When a principal authorizes an agent to act on their behalf and the agent misrepresents their role, the principal can be held liable for misrepresentation, as they are responsible for the agent's actions within the scope of their authority.

Which Type of Liability Does a Principal Have When It