Which of the following is true regarding situations in which an agent enters into a contract without authority?

Question 10 options:

a. The principal is not bound nor is the agent bound.

b. The principal is bound and the agent may be personally liable.

c. The principal is not bound, but the agent may personally liable.

d. Neither the principal nor the agent is bound if the contract is oral; but if the contract is written, both the principal and agent are bound.