Spring 2014
1.Dizzy is not Edwina's agent but enters into a contract with Frida on Edwina's behalf. Edwina approve the contract.
This is
a. an agency by agreement.
b. an agency by estoppel.
c. an agency by ratification.
d. not the creation of an agency relationship.
2.Based on Bluto's conduct, Cass believes that Dee has the authority to act on Bluto's behalf even though Dee has no actual authority to do so. Dee has
a. apparent authority.
b. equal authority.
c. express authority.
d. implied authority.
3. Geoff has a written agreement with Huck. To accomplish the objectives of this relationship, Geoff's authority can be implied
a. by contradiction.
b. by custom.
c. by lack of reason.
d. under no circumstances.
4 .Meals n' More, Inc., a catering company, requires its customers to pay by check. Lyra, a Meals n' More driver, tells customers that they can pay her with cash. When Meals n' More learns of Lyra's collections, it takes no action to stop it. Lyra steals some of the cash. Meals n' More may suffer the loss under the doctrine of
a. apparent authority.
b. express authority.
c. implied authority.
d. no authority.
5.Sonia manages a Tasty Pastry store for United Food Company. To manage the business, Sonia's authority can be implied from
a. the position Sonia occupies.
b. any statements Sonia would make.
c. any inference Sonia chooses to make.
d. no inference.
6.Bud approves on behalf of Codybut without authorizationa contract with Dik to build a new silo for Cody.
Cody does not ratify the contract. Later, Dik tries to enforce the deal against Cody. This attempt will be
a. partly successful.
b. partly unsuccessful.
c. totally successful.
d. totally unsuccessful.
7.Trey, an agent for Uno Music Corporation, executes an unauthorized contract with Variety Recording, Inc., that is highly advantageous to Uno. Variety withdraws from the deal before Uno ratifies the contract. The contract is
a.