Which statement about actual and express authorization is accurate?

• A. It must always be in writing
• B. It can be oral or inferred from conduct
• C. It cannot be revoked
• D. It lasts indefinitely

Answer: (B)

Actual authorization means the principal’s consent for an agent to act on the principal’s behalf, and it includes both express and implied authority. Express authority can be given orally or in writing, and authority can also arise from the principal’s conduct or the agent’s role, which is implied authority. So, the statement that actual authorization can be oral or inferred from conduct is accurate because it covers both ways the principal can grant authority beyond a written document.

Keep in mind that actual authority can be revoked by the principal at any time and does not last forever; certain transactions may require writing under the Statute of Frauds, but that requirement doesn’t change the fact that actual authority itself can be granted or inferred and can be revoked.