Businesses Law

Section four

First Agency

* Contract between two parties which are the principle and the agent by which the agent undertakes legal acts on behalf of the principle

Principle

* Gives the agent the authority to undertake legal accounts on his behalf

Agent

* Brings the principle into a contract with a third party. This is his mission

Second types of agent

1. Sales agent : the one who seeks purchases to make the enter into a sales contract with the principle

2. Estate agent : the one who rents,buys,or sells of an estate on behalf of the principle

3. Lawyer: Undertakes legal procedures on behalf of the principle and has the authority to enter into negations to reach a settlement

4. Sales and purchase broker: Buys and sells on behalf of the principle

5. Stock broker : Buys and sells share on behalf of the customer in the stock market

6. Recruiting agent : select the suitable candidate to fill up the vacant position the company

7. Shipping broker : takes up the necessary service to the principles ship on his behalf during its stay in the port

8. Forwarding agent: responsible to deliver the principle good to the carrier. Also receives the bill of lading

9. Commercial/factor agent : is specialized in dealing with a certain commodity and his authorized to sell the goods under his name and not have to say he is an agent

Third why do we use agents?

* If the principle lacks experience. Ex sales and estate agents

* If the principle doesn’t have the time. Ex recruiting agent

* By provision of law as in case of employing a lawyer to undertake ligation on behalf of the principle.

* To make use of the agents negations skill and proficiency. Ex. Sales &purchase agent

* If the transaction is performed in a different country than employing a local to carry out the transaction on behalf of the principle.

Fourth legal function of the agent

Independent contact | Servant agent |

Master of himself | Works for the principle...