What does the Law of Agency dictate about the relationship between a principal and an agent?

The Law of Agency governs how agents and principals interact, primarily focusing on the responsibilities and roles they have in their relationship. When discussing the principal being represented by the agent, it emphasizes that the agent acts as a representative and facilitator for the principal's interests and instructions. This means the agent has the authority to make decisions, take actions, and negotiate on behalf of the principal within the agreed-upon scope of their relationship.

This representation is critical because it establishes a fiduciary duty whereby the agent must act in the best interest of the principal, adhere to their instructions, and ensure that any actions taken align with the principal's goals and objectives. The principal ultimately retains ownership and control over the decisions made, while the agent acts to fulfill these directives with the authority granted to them.

While the other choices touch on important aspects of agency relationships, they do not capture the fundamental concept of representation. The agent acting on behalf of the client and securing consent for actions are both part of how that representation is managed, but the core of the relationship is that the principal is indeed represented by the agent. Thus, this option best encapsulates the essential function of the Law of Agency.