Duty of Personal Performance, of Care and Skill, Duty to Obey Free Essay Example, 2000 words

Generally speaking, the agency is an exception to the doctrine of privity in a contract in that a principal is bound by all acts of his agent by virtue of an agreement between him and the agent. Both law and specific terms of the contract between them govern the duties owed by agents to their principals. Although a contract of agency is subject to the same rules as in any other contracts, there are certain terms implied such as the fiduciary relationship between the principal and the agent which gives rise duties owed to the principal by the agent and rights he can exercise against the principal. In addition, a type is known as commercial agent also is subject the Commercial Agents (Council Directive) Regulations 1993 pursuant to European Union Law dealing with termination of the agreement in respect of self-employed agents who arrange contracts for the sale or purchase of goods. As per these regulations, a duty is cast on the agents to act dutifully and with good faith which term cannot be contracted out by a separate contract between them. We will write a custom essay sample on Duty of Personal Performance, of Care and Skill, Duty to Obey or any topic specifically for you Only $17.96 $11.86/page He should not also exceed his authority. This is applicable to both paid and gratuitous agent categories. Still, if the instructions are not clear or ambiguous, he will not be liable for any omission or commission if he acts according to the reasonable interpretation of the terms as held in Weigall v Runciman (1916).