In the case of an agency relationship, an agent's authority is terminated upon the loss of capacity of the agent by insanity.

Question

Quizplus · Accepted Answer

In the case of an agency relationship, an agent's authority is terminated upon the death of the agent, but not due to the loss of capacity of the agent by insanity, whether temporary or permanent, since an agent does not need capacity to possess authority.

In the Case of an Agency Relationship, an Agent's Authority