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  2. An agency relationship is created when one person or entity agrees to perform a task for, and under the direction of, another individual or entity. An agent is the person who is authorized to act for or in place of another. A principal is the person who authorizes another to act on his, her, or its behalf as an agent.
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    What is an agency relationship?An agency relationship is a relationship where someone appoints someone else to carry out duties for them. It involves two entities, a principal and an agent; the principal gives the agent legal permission to act on the principal's behalf. A common scenario of an agency relationship is when someone hires an attorney to perform legal work for them.
    What is an agency relationship governed by?In an agency relationship, two parties, a principal and an agent, agree to specific terms that allow the agent to act on behalf of the principal. The relationship is governed by agency laws that spell out what is and is not allowed. What is the purpose of agency relationship?
    Can a principal and agent form an agency relationship?A principal and agent may expressly agree to form an agency relationship. The agreement can be oral or in writing. The principal must simply confer the authority upon the agent to act on her behalf. The subject matter of the agency relationship must be legal.
    What is an example of an agency relationship?Agency relationships are relationships in which a principal gives legal permission to an agent to act on their behalf. An example is someone hiring a contractor to do improvements to their house. What happens in an agency relationship?
     
  4. 14.1: Introduction to Agency and the Types of Agents

     
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  7. agency | Wex | US Law | LII / Legal Information Institute

  8. Agency Theory: Definition, Examples of Relationships, …

    WEBJul 17, 2023 · An agency, in broad terms, is any relationship between two parties in which one, the agent, represents the other, the principal, in day-to-day transactions....

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