New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    When can a principal revoke an agent's authority?

    A Before the agent acts to bind the principal Correct Answer Incorrect Answer
    B Only with the agent's consent Correct Answer Incorrect Answer
    C After the authority has been exercised Correct Answer Incorrect Answer
    D Only if the agent is not performing well Correct Answer Incorrect Answer
    E When the contract is completed Correct Answer Incorrect Answer

    Solution

    Explanation:Contract Act: Section 203.   When principal may revoke agent's authority: The principal may, save as is otherwise provided by the last preceding section, revoke the authority given to his agent at any time before the authority has been exercised so as to bind the principal.

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