Tip of the Month - April 2008
SCOPE OF AGENCY AUTHORITY
Source: Property Management & Managing Risk
Robert C. Kyle & Floyd M. Baird
An Agent is either a general agent or a special agent, depending on the scope of the Agent’s authority. A general agent
can act on behalf of the principal on a range of matters and can
obligate the principal to any contracts signed by the agent that are
within the scope of that agent’s duties. On the other hand,
a special agent is only
authorized to represent the principal on a specific matter or
transaction. Once that transaction is concluded, the agency is
terminated. A special agent has no authority to sign any contracts on behalf of the principal. A Property Manager is usually a general agent, because of the variety of tasks to be performed.
to prior page
This web page was updated on 03/29/2008.