Agency
What is 'apparent authority' in Illinois real estate agency?
AThe actual written authority given to an agent by the principal
BAuthority that a third party reasonably believes an agent has based on the principal's conduct, even if the principal didn't actually grant it✓ Correct
CThe minimum authority required to show properties to buyers
DAuthority granted to agents by IDFPR through the licensing process
Explanation
Apparent authority exists when a third party reasonably believes that an agent has authority based on the principal's words or actions, even though the principal has not actually granted that authority. In real estate, if a principal's conduct leads a buyer to reasonably believe an agent is authorized to make certain commitments, the principal may be bound by those commitments under apparent authority.
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