An Agent is defined as a relationship between two parties called a principle and an agent
An Agent is defined as a relationship between two parties called a principle and an agent. The relationship can be created by expressed or implied contract or by law, in which one party (the agent) may act on behalf of another party (the principle) in order to bring the them into contractual positions with third parties (Lawteacher.net, 2018). Therefore, in an agency, there is in effect two contracts. One contract been formed between the principal and the agent from which the agent derives his authority to act for and on behalf of the principal, and the second between the principal and the third party through the work of the agent.
