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Sunday, 29 December 2013

Agency Formation and Duties

Introduction
ü Agency=Principal and Agent.
ü Agency is the most common and most important legal relationship.
ü Understanding agency is crucial to understanding the legal environment of business.
ü Principals use agents to be able to conduct multiple business operations simultaneously in various locations.  
ü The principal has the right to control the agent in matters entrusted to the agent.
Agency Relationships
ü Agency is a “fiduciary” relationship based on trust and confidence.
ü Distinguish Employee vs. Independent Contractor  Relationships.

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