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Law of Agency by Mind Map: Law of Agency

1. Section 135 of the Contract Acts - A person employed to do any act for another or to represent another in dealings with third persons. The person for whom such an act is done, or who is so represented, is called the "principal"

2. Types Agency

2.1. Broker Case: Fowler v Holling (1872)

2.2. A Factor (Mercantile Agent) Case: Baring v Corrie (1818)

2.3. A Commission Agent Case: Cassaboglou v Gibb (1883)

2.4. A Del Credere Agent Case: Campbell v Kitchen & Sons Ltd

2.5. Powers of Attorney

3. Creation of Agency

3.1. Express Appointment

3.1.1. Involves usual consent of the principal and the agent

3.2. Implied Appointment

3.2.1. A person, by his words or conduct, holds out another person as having authority to act for him.

3.3. Usual Authority

3.3.1. Occupying a position which would normally carry with it authority to act of the kind in question.

3.4. By Ratification

3.4.1. Duly appointed has exceeded his authority or a person who has no authority to act for the principal has acted as if he has the authority. Section 149 of the Contracts Act

3.5. By Necessity

3.5.1. Section 142 - An agency of necessity may becreated if the following conditions are met

3.6. By Estoppel

3.6.1. 1. Representation made on behalf 2. Reliance by third party 3. Must rely on third party's principal

4. Agency

4.1. Triangular relantionsip between:- - A person (Principal) - Third Party - Agency

4.2. Agency - Is a legal relationship - Required to act in the best interest of the principal

5. Authority and power of agency

5.1. Service

5.2. Representation

5.3. Power to affect the legal position of the principal

5.3.1. Performs a service for his principal, he can acquire rights for his principal and subject his principal to liabilities.