The Law of Agency PDF
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Summary
This document discusses the law of agency, focusing on agency relationships. It explains how the relationship between a principal and an agent typically works, involving the agent dealing with third parties in contractual situations for the provision of services or other obligations.
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WEEK 11: THE LAW OF AGENCY AGENCY RELATIONSHIPS AGENCY RELATIONSHIPS An situation of agency typically involves three persons. The person who is being represented, called the Principal The person who acts as the representative, called the Agent The person with who...
WEEK 11: THE LAW OF AGENCY AGENCY RELATIONSHIPS AGENCY RELATIONSHIPS An situation of agency typically involves three persons. The person who is being represented, called the Principal The person who acts as the representative, called the Agent The person with whom the agent deals on behalf of the principal, called the third party. AGENCY RELATIONSHIPS In commercial situations, the relationship between the principal and the agent is normally contractual, i.e. the principal employs the agent to provide services, for which the agent is to be paid. In addition, the agent acquires authority to represent the principal. The legal acts done by the agent on behalf of the principal may vary in nature, but typically they involve dealing with third parties to create or discharge contractual obligations, or to acquire or transfer other legal rights. An agent may also be authorised to receive performance of obligations on behalf of the principal, e.g. the payment of money owed to the principal.
