Business Law

Question 1

Express Authority

Answer 1

Authority that is stated in spoken or written words by the principal

Question 2

Implied authority

Answer 2

The authority that is commonly and customarily needed to conduct the purpose of the agency

Question 3

Apparent authroity

Answer 3

Comes from the words or actions of the principal that lead a third party to reasonably believe and act upon the belief that actual authority exists

Question 4

Renunciation

Answer 4

Takes place when the agent acting alone withdrawals from the agency relationship

Question 5

Quasi contract

Answer 5

Implied in law. One party is unjustly enriched at the expense of the other party such that the court will impose an obligation on the enriched party to pay the other party

Question 6

Elements of a contract

Answer 6

Agreement, consideration, legal purpose, and competent parties

Question 7

Fraud in the inducement

Answer 7

is a false representation of a material fact intentionally made, justifiably relied upon, and resulting in injury

Question 8

Fraud in the exectution

Answer 8

Results from the substitution of one document for another

Question 9

Duress

Answer 9

Is a wrongful act that compels contractual agreement through fee

Question 10

Undue influence

Answer 10

is unlawful control exercised by the dominant party, which is a substitute for the free will of the dependent party

Question 11

Parol evidence rule

Answer 11

oral or written evidence about the agreement that is not included in the final written agreement