Patterson (Principal) hired Aris (Agent) to manage an apartment complex. The employment contract explicitly stated Aris could not hire maintenance workers without Patterson's prior approval. Despite this, Aris hired a plumber to fix a burst pipe in an emergency. Patterson refused to pay. Is Patterson liable?

Answer options:

No, because Aris lacked actual authority.

Yes, because Aris had apparent authority.

Yes, because Aris had emergency authority (a form of implied actual authority).

No, because the plumber should have checked the contract.

How to approach this question

Distinguish Actual (Express/Implied) vs Apparent Authority. Emergency authority is a subset of Implied Actual Authority.

C.Yes, because Aris had emergency authority (a form of implied actual authority).✓ Correct

Emergency authority is a type of implied actual authority that allows an agent to act in unforeseen situations to protect the principal's interests.

Confusing implied authority with apparent authority.

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