Exam 28: Relationship of Principal and Agent

Since the agency relationship is created by agreement, the agency relationship may be terminated at any time by mutual agreement of the principal and the agent.

In some states, the authority of an agent to sell land must be in writing and signed by the principal.

A durable power of attorney differs from a power of attorney in that the durable power of attorney:

The duty of obedience owed by an agent to a principal is not breached and will not result in liability to the principal by an agent's refusal to do an illegal or tortious act for the principal.