Bar Exam Uniform Quiz
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A homeowner hired a purchasing agent to buy a specific antique chair at an auction. The homeowner instructed the agent, 'Do not bid more than $1,000 for the chair.' At the auction, the agent got into a bidding war and, believing the chair was worth more, ultimately bid $1,200. The agent won the auction. The auction house owner, who knew the agent worked for the homeowner but was unaware of the specific price limit, sent the bill to the homeowner. The homeowner refused to pay, arguing the agent exceeded his authority.
The auction house's ability to hold the homeowner liable for the $1,200 purchase price will most likely depend on which fact? Select one.
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