The Law Dictionary for Everyone
Implied authority, also known as “usual authority,” is the authority of an agent acting on behalf of another person or entity. The person acting with implied authority does what is reasonably necessary in order to effectively perform his duties. The acts undertaken surrounding the use of implied authority depend on the circumstances and the case. To explore this concept, consider […]
Read moreApparent authority arises when someone reasonably believes a person has the authority to act on behalf of another person or entity to engage in business transactions or enter into contracts. Typically, this belief stems from the person’s actions leading to the belief that they have been given authority to act. The issue of apparent authority is most often relevant in […]
Read moreActual authority allows a third party to act on behalf of, and engage in decision-making for a company or agency. Any authorization, decision, or act taken by the third party acting with actual authority is legally binding and enforceable within the courts. To explore this concept, consider the following actual authority definition. Definition of Actual Authority Noun Specific powers granted […]
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