The test of an agent's implied authority is:
A) the justifiable belief of the agent.
B) the specific language the principal used in granting the authority.
C) the explicit agency agreement between the principal and the agency.
D) the deduction of the third party dealing with the agent.

Question

Quizplus · Accepted Answer

An agent possesses the implied authority to do whatever else is reasonably necessary to accomplish the objectives of the agency. The test used by a court in determining the extent of the agent's implied authority is the justifiable belief of the agent.

The Test of an Agent's Implied Authority Is