A person who gives other persons the impression that another person is his or her agent, may be bound by all contracts made in his or her name.

Question

Quizplus · Accepted Answer

This is known as "apparent authority" or "ostensible authority," where a principal can be bound by the actions of an agent if third parties reasonably believe the agent has authority to act on behalf of the principal.

A Person Who Gives Other Persons the Impression That Another