Which type of authority arises from explicit words of the principal and cannot be delegated?

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Multiple Choice

Which type of authority arises from explicit words of the principal and cannot be delegated?

Express actual authority is created by explicit words from the principal, either spoken or written, that specify what the agent may do. Because those powers are defined by direct instructions, the agent cannot hand them off to someone else unless the principal authorizes delegation. That direct, non-delegable nature is what makes this type of authority the one described. By contrast, implied actual authority comes from the duties and circumstances of the relationship, apparent authority arises from the principal’s manifestations to others, and agency termination ends all authority. Example: If the principal tells the agent, “you may sign leases up to one year in City X,” that is express actual authority; the agent would only delegate that power if the principal explicitly approves delegating to another person.

Express actual authority is created by explicit words from the principal, either spoken or written, that specify what the agent may do. Because those powers are defined by direct instructions, the agent cannot hand them off to someone else unless the principal authorizes delegation. That direct, non-delegable nature is what makes this type of authority the one described. By contrast, implied actual authority comes from the duties and circumstances of the relationship, apparent authority arises from the principal’s manifestations to others, and agency termination ends all authority.

Example: If the principal tells the agent, “you may sign leases up to one year in City X,” that is express actual authority; the agent would only delegate that power if the principal explicitly approves delegating to another person.

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