Question: Dr. James Leonard wrote Dr. Edward Jacobson offering him the position of Chief of Audiology...

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Question: Dr. James Leonard wrote Dr. Edward Jacobson offering him the position of Chief of Audiology at Jefferson Medical College in Philadelphia. In the letter, Leonard stated that this appointment would have to be approved by the promotion and appointment committee. Jacobson believed that the appointment committee acted only as a "rubber stamp" affirming whatever recommendation Leonard made. Jacobson accepted Leonard's offer and proceeded to sell his house and quit his job in Colorado. You can guess what happened next. Two weeks later, Leonard sent Jacobson another letter, rescinding his offer because of opposition from the appointment committee. Does Leonard have apparent authority? Strategy: In cases of apparent authority, begin by asking what the principal did to make the third party believe that the agent was authorized. Did the Medical College do anything? (See the "Result" at the end of this section.)