Final answer:
Brooke may have express, implied, or apparent authority when sourcing raw materials for S&T Corporation, which determine her ability to legally bind the company in contracts with suppliers.
Step-by-step explanation:
When Brooke is retained to find sources of raw material for S&T Corporation's products, she may have one of three types of contractual authority:
- Express Authority: This is explicitly granted to Brooke by S&T Corporation through a contract or verbal agreement. Brooke has been clearly told what she is permitted to do on behalf of the corporation.
- Implied Authority: Brooke may have authority to perform actions that are reasonably necessary to carry out her express tasks, even if they are not specifically outlined in her contract. For instance, if she is to acquire raw materials, she may have the implied authority to negotiate prices and enter into agreements with suppliers.
- Apparent Authority: Sometimes Brooke may appear to others to have the authority to act on behalf of S&T Corporation because of the corporation's conduct or statements. If third parties reasonably believe Brooke has the authority to act based on the company's representations, she may bind the company in contract through apparent authority.
Understanding the scope of Brooke's contractual authority is essential in determining her actions' legitimacy and S&T Corporation's obligations.