An agency contract is a legal contract that creates a trust relationship, with the first party («the donor») agreeing that the actions of a second party («the agent») bind the client to subsequent agreements of the agent, as if the client had himself entered into the subsequent agreements. The agent`s power to retain the client is generally referred to as an authority in law. The agency created through an agreement may be a form of tacit authority, z.B. If a person gives his credit card to a close relative, the cardholder may be required to pay for purchases made by the parent with his credit card. Many states apply the rule of the same dignity, according to which the agency agreement must be written if the subsequent agreement was necessarily written, as. For example, a contract to purchase goods worth thousands of dollars. Manufacturers and suppliers of products often use agents acting on their behalf to promote sales, both in the manufacturer`s home country and abroad. As a general rule, a formal agreement is signed to determine the commission collected by the agent, the territory, the duration and other conditions under which the client and the agent jointly conduct business. An example of the existence of an agency agreement, which was the subject of legal proceedings dating back to 2006, came when a sponsor of a tennis tournament sued Venus and Serena Williams who had not participated.
The sponsor claimed that his father, Richard Williams, had committed to participate in the tournament. The Williams sisters argued that their father did not have the authority to match them to such an agreement. If his father forced the sisters to play, the court had to decide whether there was a valid agency agreement between the Williams sisters and their father. If not, they were probably not bound by its agreement in accordance with Agency law. [must update] Within the European Union, there is legislation to provide some protection to agents, in particular the right to compensation in certain circumstances when an agency is dismissed. The same is true in other parts of the world, and in some countries it is necessary for a foreign manufacturer to designate as an agent a person or company that is a national of the country in which the Agency will operate. A representative should be distinguished from a merchant – in commercial language, a trader buys shares from the supplier or customer, then resells them to his customers for a bonus, while an agent finds customers for the customer, who then sells directly to customers and pays commissions to the agent. Do you have any comments on our online dictionaries? Isn`t there a translation, did she notice a mistake or do you just want to congratulate us? Fill out the comment form.
