What does express authority refer to in the context of agency?

Prepare for the Conference National Board – Arts Exam with flashcards and multiple choice questions. Each question includes reliable explanations. Gear up to ace your exam!

Express authority in the context of agency refers specifically to the powers that are clearly and explicitly stated, often in written form, within a document such as a contract or agreement. This type of authority is granted directly by the principal to the agent, outlining specific duties and powers that the agent is allowed to execute on the principal's behalf.

For example, if a company appoints an employee to negotiate contracts on its behalf, the terms of this appointment—including what the employee is authorized to do—would typically be detailed in a document, providing a clear framework for the agent’s actions. This clarity is important because it minimizes ambiguity regarding the agent's powers and responsibilities.

In contrast, other types of authority may involve implication or assumption based on context or circumstances, rather than being explicitly stated. This is what differentiates express authority from implied, delegated, or circumstantial authority, which do not provide the same level of explicit instruction.

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