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Ch 1-2: Termination

Terminating an Agency Relationship

TermDefinition
Performance Relationship is terminated once the purpose for which it was created has been performed/fulfilled.
Mutual Agreement An agreement to terminate the relationship before the expiration date in the agreement.
Death or Incapacity An automatic termination when a principal or agent should die or become incapacitated.
Expiration Terminated on the expiration date agreed to in the contract, regardless of whether the purpose of the agency is fulfilled.
Resignation of Agent An agent can resign before the expiration date.
Unilateral Discharge Discharge of an agent prior to the expiration of the agreement.
Change in the Law Terminated upon the change in the law that makes a previous agreement illegal.
Material Change in Circumstance An issue that prevents the agency from making the agreement possible or practical to perform.
Bankruptcy Bankruptcy of the principal.
Created by: userjoe
 

 



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