If a third party relies on the principal's representation that the agent has the authority to act, which of the following is true?
A) The principal can claim the agent had no authority.
B) The agent is solely liable for the conduct if it results in injury to the third party.
C) The principal can claim estoppel.
D) The principal cannot claim the agent had no authority.
E) The agent can sue the principal for breach of contract.

Question

Quizplus · Accepted Answer

If a principal represents that an agent has authority and a third party relies on that representation, the principal is estopped from denying the agent's authority.

If a Third Party Relies on the Principal's Representation That