The ability to act on behalf of a principal without stated or implicit permission is known as seeming authority. This authority only exists if a third party can properly conclude from the principal's actions that the principal gave the agent such authority.
According to agency law, an agent has apparent power to act on behalf of a principle if their actions are within the extent of their authority and their manifestations of the principal to third parties would reasonably lead them to assume that the principal gave the agent the go-ahead.
For a contract or agreement originating from an agent's actions to bind a firm, there must be four elements of apparent authority. The agent's declaration that he was authorized to operate on the company's behalf.
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