An agency relationship can be created

Question

Quizplus · Accepted Answer

An agency relationship can be created by the conduct of the parties, such as when one party acts on behalf of another with the other's consent or when an agent accepts authority from a principal to act on the principal's behalf. A written agreement is not required to create an agency relationship, although it may be advisable to have one to establish the terms of the relationship. Payment to the agent is not a requirement for creating an agency relationship. Meeting all the standards of contract law may be relevant if there is a dispute over the terms of the agency relationship, but it is not a requirement for creating the relationship itself.

An Agency Relationship Can Be Created