Agency

What is ostensible (apparent) authority in real estate agency?

AWritten authority given to an agent
BAuthority a third party reasonably believes an agent has based on the principal's conduct✓ Correct
CAuthority specifically denied to an agent
DEmergency authority to act without approval

Explanation

Ostensible (apparent) authority arises when a principal's conduct leads a reasonable third party to believe an agent has authority to act on their behalf, even if actual authority was not granted.

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