An agency by __________ occurs when a person leads another to believe that someone else is his or her agent and is thereafter prevented from denying it.

Question

Quizplus · Accepted Answer

The concept of estoppel applies when someone is prevented from denying the agency relationship that has been created through their own conduct or statements. This means that if a person leads another to believe that someone is their agent (even if they didn't actually authorize them to act as their agent), they may be estopped from denying the agency relationship and may be held responsible for the actions taken by the supposed agent. Ratification, agreement, and conduct can all be aspects of establishing an agency relationship, but estoppel specifically refers to the situation where a person is prevented from denying an agency relationship.

An Agency by __________ Occurs When a Person Leads Another