LAWS1100 Lecture Notes - Lecture 6: Contra Proferentem, Apparent Authority, Specific Performance
Document Summary
The third party will only have a contract with the principal if the agent was acting with the principal"s authority. There are three main ways in which an agent can be authorised to act on a principal"s behalf: The principal can expressly authorise the agent, in writing or verbally, to act on their behalf in making a contract. A power of attorney is a written grant of express actual authority to an agent. The principal may not have actually authorised the agent to act on their behalf but the agent will nevertheless have apparent authority if: The third party did not know the agent did not have express of implied actual authority; The principal held out" the agent as having authority to act on the principal"s behalf e. g. by appointing the agent to a particular position, or by holding the agent out as having authority in the past; and.
