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AgencyAuthorityHARD

An agent who exceeds the authority granted by the principal:

Correct Answer

B) May be personally liable

When an agent acts beyond their authority, they may become personally liable for any damages that result. The principal is not bound by unauthorized acts unless they ratify them.

Answer Options
A
Automatically terminates the agency
B
May be personally liable
C
Is protected by the principal
D
Creates a new agency
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