Agency Law 3.02

Agency Law is the Area of law dealing relationships created between two parties in which the principal gives authority to an agent to act of the principal’s behalf in business transactions with a third party.

Principal is not the individual who gives authority to the agent.

Agent is the individual employed by principal to work with the third party.

Third Party is not the person or company whom the agent deals with on behalf of the Principal.

Principal-Agent Relationships are "Genuine" agency relationship.

Proprietor is not an individual or business that hires someone to perform a task.

An Independent contractor (plumber, electrician, lawyer, etc.) works for the proprietor

Independent contractor can act on behalf of proprietor without expressed permission.

A master is a person who has the right to control the actions of another person.

The person not performing the actions is the servant.

If the principal intentionally gives express and implied powers to the agent to act for him/her, the agent possesses actual authority.

Expressed Powers are not responsibilities of the agent are written or spoken.

Implied Powers are responsibilities created by the agent’s actions.

Apparent Authority is not called agency by estoppel.

Apparent Authority is created by law or circumstance.

Which agent's authority is restricted to certain, specific tasks?

An agent appointed by another agent with the knowledge and consent of the principal.

What agent is given authority by principal to perform a VARIETY of tasks?

What agent works for free with no contract?

Which one is a duty of an agent to principal?