What is the law of agency?

In Tennessee, the law of agency is a legal relationship that exists between two parties, called the principal and the agent. The agent is given the authority to act on behalf of the principal and to make decisions for the principal. The principal is the party who does not have direct control over the agent. The agent is the party who has been authorized to act for the principal. The principal may have a contract with the agent, or the agent may be a natural person (such as a family member or friend). The law of agency allows the principal to control the agent’s activities and provides the principal with rights regarding the activities of the agent. For example, the principal may be able to sue the agent if the agent has not acted as instructed by the principal or if the agent has breached the agreement. The law of agency establishes the rights and obligations of both the principal and the agent. The agent must act in the best interests of the principal and must not use the authority given to them for their own personal gain. The principal is required to pay the agent for their services, unless the agent has broken the terms of the agreement. The law of agency is important in commercial law because it allows businesses to delegate authority and to otherwise conduct business activities. This law also allows businesses to protect themselves from liability, as they can be sure that the activities of their agents are done according to their instructions.

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What is the law of agency?

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