The following excerpt is from Northwestern Nat. Ins. Co. v. Federal Intermediate Credit Bank of Spokane, Wash., 839 F.2d 1366 (9th Cir. 1988):
The bank argues that, if RBH did not possess actual authority, it must have had apparent authority to act as the insurers' agent. A finding of apparent authority requires that the principal hold out the apparent agent as its agent, or act in a way to indicate that the apparent agent is its agent in fact. See J. & J. Food Centers v. Selig, 76 Wash.2d 304, 309, 456 P.2d 691, 694 (1969).
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