Reg – Actual and Apparent Authority

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    Topic
  • #177719
    Anonymous
    Inactive

    Hi,

    I’m not being able to understand the apparent authority.

    Can someone discuss it in an example with normal language (because I didn’t get the law language).

    Thanks.

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  • #413859
    cookie168
    Member

    Hi Del Piero,

    Think of Apparent Authority like this:

    Due to your title, you are “entitled” to carry out responsibilities a regular/general person with your title would.

    For example:

    Cookie is given the TITLE of Master Baker in a bakery cafe setting.

    His manager/supervisor tells him, “you will manage the baking dept. EXCEPT baking the bread.

    Now even though Cookie has been given specific instructions, he actually has the APPARENT authority to do so because a Master Baker would generally be expected to bake bread.

    So think Apparent = Entitled due to title given over Actual Authority

    hope this helps 🙂

    #413860
    Anonymous
    Inactive

    Thank you so much.

    I got it, but in the book there is something about a notice to third parties?

    #413861
    Anonymous
    Inactive

    Well apparent authority exists only if a third party reasonably believes that, by the conduct of the principal, the agent had authority to carry out those actions.

    Or at least that's how I remember it.

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