Incidental authority refers to the power that enables an individual to perform actions necessary to execute their actual or apparent authority. For instance, if someone has the actual authority to borrow money, they also possess the incidental authority to sign documents like commercial paper to finalize the loan. This type of authority is sometimes referred to as inferred authority.
Incidental authority is commonly used in various legal contexts, particularly in business law and agency law. It is essential for ensuring that agents can effectively carry out their duties without needing explicit permission for every action. This concept is relevant in areas such as:
Users may find legal forms related to agency agreements or powers of attorney useful for managing situations involving incidental authority, which can be accessed through platforms like US Legal Forms.
Here are a couple of examples of abatement:
Here are a couple of examples illustrating incidental authority:
| Term | Definition | Key Differences |
|---|---|---|
| Actual authority | Explicit permission granted to an agent. | Directly given by the principal. |
| Apparent authority | Authority an agent seems to have based on the principal's actions. | Based on perception rather than explicit permission. |
| Inferred authority | Another term for incidental authority. | Focuses on actions necessary to carry out actual authority. |
If you believe you have incidental authority in a situation, consider the following steps:
For those looking to manage legal documents related to authority, US Legal Forms offers templates that can help streamline the process.
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| Attribute | Details |
|---|---|
| Common Areas of Use | Business transactions, agency law |
| Related Terms | Actual authority, apparent authority |
| Documentation | May not always be formally documented |
Actual authority is the explicit permission given to an agent, while incidental authority allows the agent to take necessary actions to fulfill their actual authority.