A person who is power-oriented strives for leadership because of its associated authority.
What is Actual authority?
- Actual authority refers to the precise rights that a principal has granted to an agent in order for the agent to act on the principal's behalf.
- An agent receives genuine authorization from a principal either orally, such as over the phone, or in writing.
- Depending on the circumstance, actual authority may have extensive, restricted, or general authority.
- Written authority is preferred since it is easier to verify than spoken authority.
- Bylaws and resolutions from directors' meetings that permit the authorized individual to perform a certain act on behalf of the corporation are examples of written express authority in a corporation.
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