Which of the following statements is true about an agency by ratification?
A) A principal must have full knowledge of an agent's actions for the agency to be effective.
B) It occurs when a third person is led to believe by a principal that a certain individual is the principal's agent.
C) It occurs when a principal draws up a legal document to establish an agency relationship before an agent undertakes any action.
D) A third party must be unaware of the existence of a principal at the time of an agent's act for the agency to be effective.
A
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To show that you are thinking of the reader and being polite, you may say, "If you do not want to do this, I understand," and it will help sway your reader to believe in your idea
Indicate whether the statement is true or false
A plaintiff sues in negligence but has no direct proof that the defendant behaved unreasonably. Which of the following is most likely to help the plaintiff?
a. Res judicata. b. Stare decisis. c. Res ipsa loquitur. d. Mens rea.
On January 1, Year 1, Mahoney Company borrowed $177,000 cash from Sun Bank by issuing a 5-year, 8% term note. The principal and interest are repaid by making annual payments beginning on December 31, Year 1. The annual payment on the loan equals $40,950.What is the amount of principal repayment included in the payment made on December 31, Year 1?
A. $37,674 B. $40,950 C. $26,790 D. $14,160
Darwin borrows $200,000 from Evermore Bank to buy a home. Less than six months into the term, Darwin stops making payments on the loan. To initiate the process to repossess and auction off the property securing the loan, Evermore must
A. issue a notice of sale to the borrower. B. offer the property for sale in an auction on the courthouse steps. C. record a notice of default with the appropriate county office. D. resort to litigation to establish clear ownership of the property.