BU231 Chapter Notes - Chapter 17: Apparent Authority, Fiduciary, Independent Business
Document Summary
Agent a person acting for another person in contractual relations with third parties. Principal the person on whose behalf the agent acts. Dependent agent an agent who acts exclusively, or mostly, for a single principal. Independent agent an agent who carries on an independent business and acts for a number of principals. Commission agent one who sells on behalf of a principal to third parties and received compensation through commissions. Any person who has the capacity to contract may appoint an agent to contract on his behalf. Agency agreement the agreement between principal and agent whereby the agent undertakes to act on behalf of the principal. The easiest way to form an agency relationship is by agreement. An agency agreement may be expressed or implied, oral, written, or in writing under seal. If an agency agreement is to extend beyond one year it must be in writing.
