What is the law of agency?
The law of agency is a key concept of administrative law in Washington. It specifies the relationship between an “agent” (a person or company that is authorized to represent another person or company) and their “principal” (the person or company being represented). The basic idea is that the agent acts on behalf of the principal. Under the law of agency, the principal is responsible for the actions taken by its agent, as long as the agent had the authority to do so. This means that any contracts entered into by the agent, any legal obligations assumed by the agent, and any harm caused by the agent, are all the responsibility of the principal. As a result, the principal has a duty to closely monitor the activities of its agents. The law of agency also governs the rights and obligations of agents. Agents, for example, may be entitled to compensation for services rendered. They may also be required to act in the best interests of their principal and to faithfully carry out their duties. Finally, the law of agency governs the liability of agents for their actions. If an agent behaves in a negligent manner or otherwise contravenes their legal obligations, then they can be held personally liable for their actions. This is important because it ensures that agents are aware of their responsibilities and that they must act with care and caution in their dealings.
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