Asked by Vivian Terziario on Apr 24, 2024
Verified
A(n) ________ is a party who has authority to act on behalf of and bind another party.
A) agent
B) principal
C) warrantor
D) transferor
E) endorsee
Party Authority
The legal power or capacity of a party to enter into a binding contract or agreement.
Act On Behalf
The action of representing or making decisions for someone else or another entity.
- Comprehend the functions of both agent and principal within the realm of negotiable instruments, alongside the associated liability ramifications.
Verified Answer
RS
Rawaha Siddiqui7 days ago
Final Answer :
A
Explanation :
An agent is someone who has the authority to act on behalf of another person or entity, known as the principal, and can make decisions and take actions that bind the principal.
Learning Objectives
- Comprehend the functions of both agent and principal within the realm of negotiable instruments, alongside the associated liability ramifications.
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