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Agency
Agency Terms
28
Law
Professional
05/15/2013

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Term
actual authority
Definition
The power of an agent to bind its principal where such power derives either from express or implied agreement between the principal and the agent.
Term
agent
Definition
A person authorized by another (principal) to act for in in place of him; one intrusted with another's business.
Term
Agency by Estoppel
Definition
One created by operation of law and established by proof of such acts of the principal as reasonably lead third person to the conclusion of its existence. Arises where principal, by negligence in failing to supervise agent's affairs, allows agent to exercise powers not granted to him, thus justifying others in believing agent possesses requisite authority.
Term
agency by ratification
Definition
When a principal approves or accepts the benefits of the actions of an otherwise unauthorized agent. (pages 157-8)
Term
agency
Definition
A relationship between two persons, by agreement or otherwise, where one (the agent) may act on behalf of the other (principal) and bind the principal by words and actions. Relation in which one person acts for or represents another by latter's authority, either in the relationship of principal and agent, master and servant, or employer or proprietor and independent contractor.
Term
aided-in-the-agency relation theory
Definition
the employee was aided in accomplishing the tort by the existence of the agency relationship
Term
apparent authority
Definition
In the law of agency, such authority as the principal knowingly or negligently permits the agent to assume, or which he holds the agent out as possessing. Such authority as he appears to have by reason of actual authority which he has. Such authority as a reasonably prudent man, using diligence and discretion, in view of the principal's conduct, would naturually suppose the agent to possess.
Term
clip-wrap agreement
Definition
A prominent feature in electronic commerce whereby a usere assents by clicking on an acceptance box.
Term
customary authority
Definition
The authority that agents of that type normally would have. (page 164)
Term
direct representation
Definition
When an agent acts in the name of a principal pursuant to express, implied, or apparent authority, whether or not the principal's identity is revealed at the time the agent acts or is to be revealed later. (page 175)
Term
duty of care
Definition
The duty of an agent to act with due care. This includes a duty to avoid mistakes, whether through negligence, recklessness, or intentional misconduct. Some states require an agent to use the same level of care a person would use in the conduct of his or her own affairs. Others use a comparative approach: an agent must exercise the same level of care that a reasonable person in a like situation would use.
Term
duty of loyalty
Definition
The duty of an agent to act soley for the benefit of his or her principal in all matters directly connected with the agency undertaking. (page 160-1)
Term
duty of obedience
Definition
The duty of an agent to obey all reasonable of his or her principal. (Page 160)
Term
Express Authority
Definition
Authority delegated to agent by words which expressly authorize him to do a delagable act. Authority which is directly granted to or conferred upon agent in express terms. That authority which principal intentionally confers upon his agent by manifestations to him. (Blacks page 581)
Term
Implied authority
Definition
Actual authority circumstantially proved. That which the principal intends his agent to possess, and which is implied from the principal's conduct. It includes only such acts as are incident and necessary to the exercise of the authority expressly granted. (Blacks page 133)
Term
electronic agents
Definition
Autoomous computer programs that can be dispatched by the user to execute certain tasks. (page 164)
Term
equal dignities rule
Definition
If an agent enters into an agreement of a type that must be in writing to be enforceable, the agent's signature on the agreement will not bind the principal unless the agency relationship itself is evidenced by some signed writing. (Page 157)
Term
express ratification
Definition
A ratification made in express and direct terms of assent. (Black page 1262)
Term
fiduciary
Definition
The term is derived from the Roman law, and means (as a noun) a person holding the charcter of a trustee, or a character analogous to that of a trustee, in respect to the trust and confidence involved in it and the srupulous good faith and candor which it requires. A person having a duty, created by his undertaking, to act primarily for another's benefit in the matters connected with such undertaking. (Blacks page 625)
Term
implied ratification
Definition
A ratification is one the law presumes from the acts of the principal. (Blacks page 1262)
Term
independent contractor
Definition
Generally, one who, in exercise of an independent employment, contracts to do a piece of work according to his own methods and is subject to his employer's control only as to end product or final result of his work and not as to the means whereby it is to be accomplished. ... He may or may not be an agent. (Blacks page 770)
Term
indirect representation
Definition
When an intermediary acts on instructions and on behalf of, but not in the name of, a principal, or when the third party does not know or have reason to know that the intermediary is acting as an agent. (page 175)
Term
principal
Definition
Describes one who has permitted or directed another (i.e. agent or servant) to act for his benefit and subject to his direction and control, such that the acts of the agent become binding on the principal. (Blacks page 1192)
Term
ratification
Definition
In the law of principal and agent, the adoption and confirmation by one person with knowledge of all material facts, of an act or contract performed or entered into in his behalf by another who at the time assumed without authority to act as his agent. (Blacks page 1262)
Term
respondeat superior
Definition
Let the master answer. A master is liable in certain cases for the wrongful acts of his servant, and a principal for those of his agent. (Blacks pages 1311-1312)
Term
undisclosed principal
Definition
The one for whom an agent acts, if the other party has no notice that the agent is acting for the principal. (Blacks 1193)
Term
usual authority
Definition
The authority that an agent has been allowed to exercise in the past. (page 164)
Term
vicarious liability
Definition
The imposition of liability on one person for the actionable conduct of another, based solely on a relationship between the two persons. Indirect or imputed legal responsibility for acts of another; for example, the liability of an employer for the acts of an employee, or, a principal for torts and contracts of an agent. (Blacks page 1566)
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