Agency is defined as:
b. The fiduciary relationship reflecting one party's agreement to act on behalf of another party and be subject to her control, with the second party's consent.
2. When determining whether a worker is an employee or an independent contractor, a key element to consider is:
d. The extent to which the employer controls the actions of the worker.
Which of the following is not a way for an agency relation to arise?
a. By rescission.
4. Ratification means:
c. The act of approving or affirming a contract made by someone who was not an agent or by an agent who was not authorized to form the contract.
5. Which of the following is not a duty of an agent?
6. Under the equal dignity rule:
b. If a contract must be in writing to be executed, an agent's authority must also be in writing.
7. When a principal causes a third party to reasonably believe an agent has authority to act on the principal’s behalf, even if the agent does not have such authority, this is known as:
d. Apparent authority.
8. With respect to a principal’s ratification of an agent’s unauthorized act, which of the following is not necessary?
b. The third party must withdraw before the principal affirms.