Asked by Tyasia Dennis on Jun 11, 2024
Verified
Actual authority terminates upon:
A) dissolution of the partnership.
B) illness of one of the partners.
C) physical destruction of partnership papers.
D) All of these events terminate actual authority.
Dissolution Of The Partnership
The process of legally terminating the existence of a partnership business.
Actual Authority
The express power granted by a principal to an agent to act on their behalf.
- Understand the principles of implied, apparent, and true authority as they apply to partnerships.
Verified Answer
DL
Denise LaRueJun 15, 2024
Final Answer :
A
Explanation :
Actual authority terminates upon the dissolution of the partnership, as the legal entity for which the authority was granted no longer exists. Illness of a partner or physical destruction of partnership papers does not terminate actual authority.
Learning Objectives
- Understand the principles of implied, apparent, and true authority as they apply to partnerships.