The Importance of Law of Agency in Commercial Sector

Abstract

With the effects of globalisation and the speed at which modern day business is done, it is almost impossible for individuals and corporations to be physically present for all business decisions taken, which may affect their interests. In such situations where they are unavailable, businesses are carried on with the use of agents, who proceed to act with authority, on their behalf. Therefore, basic knowledge of the principle of agency, manner of creating and establishing a relationship of agency and the effects of such a relationship is vital for those involved in the commercial sector, these are the discussions in this paper.