LAW 3220 CLEMSON EXAM 4 STUDY GUIDE
2026 PRACTICE QUESTIONS RESPONSES
APLUS
◉ Through an agency relationship, the agent becomes a
representative of the:
(A) third party
(B) principal
(C) customer or supplier of the principal
(D) shareholder
(E) all of the other choices.
Answer: (B) principal
◉ An agency relationship normally involves the use of an agent to
represent a principal in dealing with which of the following:
(A) shareholders
(B) representatives
(C) third parties
(D) attorneys
(E) ratifications.
Answer: (C) third parties
,◉ In an agency the principal:
(A) provides the agent with authority
(B) provides the agent with legal support
(C) does not provide the agent with authority
(D) is given authority by the agent
(E) none of the other choices are correct.
Answer: (A) provides the agent with authority
◉ In which of the following situations can an agency relationship be
created?
(A) X hires Y to buy some property on X's behalf
(B) X makes an oral agreement that Y will work for X's company as
the company's general manager
(C) X and Y enter into a written agreement that Y will work for X as
the general manager of X's
company
(D) X hires Y to buy some property on X's behalf and X makes an oral
agreement that Y will work for
X's company as the company's general manager
(E) X hires Y to buy some property on X's behalf and X makes an oral
agreement that Y will work for
X's company as the company's general manager and X and Y enter
into a written agreement that Y
,will work for X as the general manager of X's company.
Answer: (E) X hires Y to buy some property on X's behalf and X
makes an oral agreement that Y will work for X's company as the
company's general manager and X and Y enter into a written
agreement that Ywill work for X as the general manager of X's
company
◉ An agent's ____ is the power to change the principal's legal
obligations.
(A) legal right
(B) official power
(C) authority
(D) responsibility
(E) authorization.
Answer: (C) authority
◉ Someone designated to do all acts that can be legally granted to an
agent is called a(n):
(A) special agent
(B) universal agent
(C) general agent
(D) subagent
(E) gratuitous agent.
, Answer: (B) universal agent
◉ To carry out their duties, universal agents are typically granted:
(A) powers to act by estoppel
(B) a general power of attorney
(C) authority to cancel contracts anticipatorily
(D) all of the other specific choices
(E) none of the other choices.
Answer: (B) a general power of attorney
◉ A manager who runs all aspects of a hotel is most likely what kind
of agent:
(A) universal agent
(B) special agent
(C) gratuitous agent
(D) general agent
(E) none of the other choices.
Answer: (D) general agent
◉ An agency coupled with an interest is created:
(A) when the principal provides the agent with a general power-of-
attorney
2026 PRACTICE QUESTIONS RESPONSES
APLUS
◉ Through an agency relationship, the agent becomes a
representative of the:
(A) third party
(B) principal
(C) customer or supplier of the principal
(D) shareholder
(E) all of the other choices.
Answer: (B) principal
◉ An agency relationship normally involves the use of an agent to
represent a principal in dealing with which of the following:
(A) shareholders
(B) representatives
(C) third parties
(D) attorneys
(E) ratifications.
Answer: (C) third parties
,◉ In an agency the principal:
(A) provides the agent with authority
(B) provides the agent with legal support
(C) does not provide the agent with authority
(D) is given authority by the agent
(E) none of the other choices are correct.
Answer: (A) provides the agent with authority
◉ In which of the following situations can an agency relationship be
created?
(A) X hires Y to buy some property on X's behalf
(B) X makes an oral agreement that Y will work for X's company as
the company's general manager
(C) X and Y enter into a written agreement that Y will work for X as
the general manager of X's
company
(D) X hires Y to buy some property on X's behalf and X makes an oral
agreement that Y will work for
X's company as the company's general manager
(E) X hires Y to buy some property on X's behalf and X makes an oral
agreement that Y will work for
X's company as the company's general manager and X and Y enter
into a written agreement that Y
,will work for X as the general manager of X's company.
Answer: (E) X hires Y to buy some property on X's behalf and X
makes an oral agreement that Y will work for X's company as the
company's general manager and X and Y enter into a written
agreement that Ywill work for X as the general manager of X's
company
◉ An agent's ____ is the power to change the principal's legal
obligations.
(A) legal right
(B) official power
(C) authority
(D) responsibility
(E) authorization.
Answer: (C) authority
◉ Someone designated to do all acts that can be legally granted to an
agent is called a(n):
(A) special agent
(B) universal agent
(C) general agent
(D) subagent
(E) gratuitous agent.
, Answer: (B) universal agent
◉ To carry out their duties, universal agents are typically granted:
(A) powers to act by estoppel
(B) a general power of attorney
(C) authority to cancel contracts anticipatorily
(D) all of the other specific choices
(E) none of the other choices.
Answer: (B) a general power of attorney
◉ A manager who runs all aspects of a hotel is most likely what kind
of agent:
(A) universal agent
(B) special agent
(C) gratuitous agent
(D) general agent
(E) none of the other choices.
Answer: (D) general agent
◉ An agency coupled with an interest is created:
(A) when the principal provides the agent with a general power-of-
attorney
