Notes

The Texas Supreme Court summarized the law concerning apparent authority:

Apparent authority, we have said, is based on estoppel, arising “either from a principal
knowingly permitting an agent to hold [himself] out as having authority or by a principal’s actions
which lack such ordinary care as to clothe an agent with the indicia of authority, thus leading a
reasonably prudent person to believe that the agent has the authority [he] purports to exercise.”