Agency Relationships In Business

Agency Relationships in Business (Your Name (Your University2008IntroductionAgency righteousness deals with the affinity between the top dog and element (Cornell University Legal Information plant , n .d The concept of agency finds basis on the Latin maxim Qui facit per alium , facit per se which means that anyone who acts through an other person is legally considered to have done it himself (Cornell University Legal Information bring , n .d . Thus , by virtue of an express empowerment or an implied one , a person or agent may act for and behalf of another and exercise things as if the other or principal has performed it . The most common agency kinds complicate guardian-ward , executor or administrator-decedent , and employer-employee (Cornell University Legal Information Institute n .d The law of agency allows one person to employ another to do her or his spring , sell her or his goods , and acquire berth on her or his behalf as if the employer were present and acting in person (West s Encyclopedia of American equity , 1998 . Thus , the principal specifies the scope , parameters of license and the acts or duties to be performed by the agent for his benefit which necessarily connotes control by the principal everyplace the agent . This principle evokes indebtedness of the principal for the acts of the agent at heart the scope of duties and authority (West s Encyclopedia of American Law , 1998 . This is the master-servant relationship (Marketing Daily web site , n .dAs a oecumenical rule , the agent is not liable on contracts entered into when he acts for and in behalf of his principal and that his acts are within the scope of authority granted by the principal (West s Encyclopedia of American Law , 1998 . He only becomes personally liable if he acts in excess or outside of his granted authority , therefrom violating his fiduciary duty and in cases of fraud (Aviram , n .dAnent , liability for tort , the principle of respondeat superior is followed .

The principal is deemed liable and trusty for the acts of the agent when performed within the scope of authority and during the course of the troth (West s Encyclopedia of American Law , 1998 The principle of respondeat superior or `let the master answer proceeds from the theory that a master must respond to third persons for losses negligently caused by the master s servants (West s Encyclopedia of American Law , 1998 . In contemporary times , the damages that the employee caused shall be recompensed by the employer because the latter(prenominal) is vicariously liable for the acts of his employee (West s Encyclopedia of American Law , 1998It is of the essence(p) to be able to determine whether or not there exists a relationship of agency , i .e . whether the person is considered an employee or an independent declarer for purposes of determining liability and responsibilityDiscussionAn independent contractor is defined as one who enters into a contract to perform a job using his own procedures but is undetermined to control only based on the output of work (West...If you want to get a full essay, order it on our website: Ordercustompaper.com

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