What is the test for establishing that a third party has authority?
California, United States of America
The following excerpt is from Memorial Hospital Ass'n of Stanislaus County v. Pacific Grape Products Co., 277 P.2d 878 (Cal. App. 1954):
'There are two essential features of ostensible authority, viz., the third person must believe that the agent had authority and such belief must be generated by some act or neglect of the person to be held.' Walsh v. American Trust Co., 7 Cal.App.2d 654, 660, 47 P.2d 323, 325.
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