Seed Packets, Inc., a garden seed company, requires its customers to pay by check. Taylor, a Seed Packets driver, tells customers that they can pay her with cash. When Seed Packets learns of Taylor's collections, it does not act to stop them. Taylor steals some of the cash. Under the doctrine of apparent authority, Seed Packets will most likely

Question

Eva Campos

Business

21 May, 01:37

Seed Packets, Inc., a garden seed company, requires its customers to pay by check. Taylor, a Seed Packets driver, tells customers that they can pay her with cash. When Seed Packets learns of Taylor's collections, it does not act to stop them. Taylor steals some of the cash. Under the doctrine of apparent authority, Seed Packets will most likely

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Answers (1)

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Valentina Gilmore · Answer 1

a. suffer the loss

Explanation:

The Apparent Authority doctrine refers to the authority given to an employee by giving them something that represents the company/business (such as a business card, company clothes, or car with the company logo), which allows customers to know that they have authority to act on behalf of the company. Since Taylor most likely drives a Seed Packets car and works as an employee he has apparent authority, therefore Seed Packets will have to suffer the loss because they authorized him to work on their behalf and are responsible for their actions.