Which scenario illustrates expressed authority?

The scenario that illustrates expressed authority involves providing written documentation outlining an agent's powers. Expressed authority is defined as the authority that is clearly and explicitly granted to an agent by a principal, often through a formal written agreement. This explicit grant of authority ensures that both the agent and third parties have a clear understanding of what actions the agent can take on behalf of the principal.

In this case, the written documentation serves as definitive proof of the agent's scope of authority, eliminating ambiguity and ensuring that the agent can operate within clearly defined parameters. It allows the agent to take specific actions and make decisions that have been explicitly authorized, which is critical in legal and business contexts to avoid misunderstandings or disputes.

Other scenarios involve different forms of authority. For instance, authorizing an agent verbally could lead to misunderstandings, as verbal agreements are often less clear than written ones. Assuming an agent can act based on previous experiences does not provide a formal basis for their authority, as it relies on informal understanding rather than explicit permission. Allowing an agent to decide based on peer confidence lacks formal structure and can create confusion about the agent’s actual authority. Overall, expressed authority is about clear communication and well-defined boundaries, which are best illustrated through documented agreements.