Agency Contract
/ˈeɪdʒənsi ˈkɒntrækt/
Definitions
- (n.) A legally binding agreement whereby one party (the agent) is authorized to act on behalf of another (the principal) to create legal relations with third parties.
The company signed an agency contract appointing a representative to negotiate on its behalf.
- (n.) A contract establishing the rights and duties between the principal and the agent in their agency relationship.
The agency contract outlined the scope of the agent's authority and compensation terms.
Forms
- agency contract
- agency contracts
Related terms
See also
Commentary
Agency contracts must clearly define the scope of authority to avoid liability issues between principal, agent, and third parties.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.