Reliable Insurance Company employs Stuart as an agent. To terminate Stuart's authority, Reliable Insurance must notify

Question

Reliable Insurance Company employs Stuart as an agent. To terminate Stuart's authority, Reliable Insurance must notify​

Quizplus · Accepted Answer

Reliable Insurance must notify both Stuart and any third parties who are aware of the agency relationship in order to terminate Stuart's authority. This ensures that all parties are properly informed of the change in the agency relationship and can take appropriate action. Simply notifying third parties who are aware of the relationship would not be sufficient, as Stuart himself would also need to be informed. Notifying the public generally would not be necessary or practical. Notifying Stuart alone would not be sufficient to inform third parties who are relying on his authority.

Reliable Insurance Company Employs Stuart as an Agent