Agent
Person
authorized to transact business for and in the name of another.
The relationship of Principal and Agent, in law, voluntary relationship
between two parties whereby one, the agent, is authorized by express
or implied consent to act on behalf of the other, called the principal.
The designated agent can thus affect or
conduct the legal affairs of the principal with others, as in the
case, for example, of the agreement known as power of attorney.
The authorized acts of the agent are thus considered to be the acts
of the principal, who is entitled to the benefits, if any, from
these actions. The relationship differs from that of master and
servant in that the agent is the representative, as well as the
employee, of the principal.
Any
person who has legal capacity to make contracts can appoint an agent,
who in turn must be of legal age and of sound mind. A corporation
or a partnership, as well as an individual, can be either principal
or agent. The agent may be appointed by actual agreement, or may
be acknowledged as such by actions on his or her and a principal's
part indicating such a mutual agreement. Obligations of the agent
vary according to the particular agreement with the principal, who
is generally required to act by specific instructions and is held
responsible for wrongful acts of the agent only when they fall within
the scope of the legal contract. The insurance agent, besides being
paid for services, is entitled to reimbursement for particular expenses.
Truck broking agent.
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