On Authorized Procuration In Contractual Relation

Agency is an important legal system in modem society. Authorized procuration is the most main and common agency form. It is defined as a fiduciary relationship arising where one party, know as the rincipal? confides to another person, know as the gent? the management of some business or the performance of some transaction by the agent in the principal's name and on his account, and by which the agt assumes to transact the business or do the act and to render an account of it. Authorized procuration, in its legal sense, imports commercial or contractual dealings between two parties through the medium of another. The first part of the thesis analyzes the ground and the chief forms of authorized procuration surrounding the central issue about authorized competency. The powrer anointed by the principal and agent is ordinarily cleared by agreement of the parties. As between principal and agent, there must be a meeting of the minds in establishing the agency, and the consent of both parties is necessary, although such consent may be implied. An implied agency is an actual agency, the existence of which is eblished by imferences from the facts and circumstances of the case, scubas a priorcause of dealings of similar mature between the parties. The forn of the authorized procupation are a power of attorney authorization and oral autlmrization. A power of attorney, appointing an attorney in fact, is a written instri.uent. and in certain instances, as where it involves dealing in real estate, the inskument is required to be acknowledged and recorded. The seamd part elaborates the nature and characteristics of authorized procuration. The thesis points out that the authoriced procuration is not a status of law but a sort of right. The thisd part discloses the internal and external relationships] of the authorized procuration, i.e. internal relationship which lies between agent and principal and external relationships which lies among agent and principal and the third part. In the internal relation, the principal must not interfere with the consummation of the agency. The law implies a promise by the principal to indemnify the agent for damages resulting proximately form the execution of the agency, as well as reimbursement for necessary expenses incurred by the agent to consummate the agency, so long as the acts of the agent have been properly within the scope of the agency. The amount or basis of the agent's compensation for his services is usually fixed in the contract of employment, But the agent is under a duty to act only as authorized, and if he exceeds his authority he generally becomes liable to his principal for any loss or damage naturally resulting from his unauthorized acts. With respect to matters within the scope of his agency, an agent is a fiduciary and he is required to exercise the most good faith, loyalty and honesty toward his principal. In the external relation, the principal is bound by the acts, which his agent does on his behalf within the actual or apparent scope of his authority from the principal. In undisclosed agency, the liability of an undisclosed principal and his agent to a third party with whom the agent deals is an alternative liability: after the third party becomes aware of the agency and of the identity of the principal, he is put to an election to hold either the agent or the principal liable; he cannot hold both. At last, the thes...