Under the Second Restatement, all third parties that were aware of the apparent authority of the agent must have actual and not constructive notice to terminate the agent's apparent authority.

Question

Quizplus · Accepted Answer

Under the Second Restatement, termination of an agent's apparent authority towards third parties who have relied on it requires only reasonable notice, not necessarily actual notice. Constructive notice (e.g., through publication in appropriate cases) can suffice to terminate apparent authority.

Under the Second Restatement, All Third Parties That Were Aware