A proposed variation beyond the instructions
A fictional vendor authorizes an agent to discuss offers and report proposed terms. The written instructions do not authorize the agent to accept a price reduction or change the completion arrangement without approval. A purchaser asks the salesperson to sign a document accepting both changes immediately, saying that negotiation authority must include acceptance authority. The vendor is temporarily unavailable, and the office is concerned about losing a commission. The exercise does not establish apparent authority or provide a court determination about an actual dispute. Students must identify the limits of the supplied instructions and explain what responsible action follows without assuming that commercial urgency creates authority or that every negotiation automatically binds the principal.
1. What do the supplied instructions establish?
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They authorize discussion and reporting but do not authorize the proposed acceptance. Negotiating and committing the principal are distinct actions under these facts.
2. What should the salesperson do?
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Seek genuine authorization through the appropriate channel and communicate the present limit accurately. Do not invent approval or sign as though the missing authority exists.