Law · Agency Law
An agency relationship is created when a principal represents to a third party that a person is their agent, even though no formal agreement exists. If the third party relies on this representation to their detriment, the principal is prevented from denying the agency. What is the specific legal term for the authority created in this scenario?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Authority by necessity
- 2Ostensible authority✓
- 3Express authority
- 4Actual implied authority
Correct answer
Ostensible authority
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