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What about Mutual agency???

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What about Mutual agency???

Posted by Aditya Chauhan 4 years ago

CBSE > Class 11 > Business Studies

2 answers

Yogita Ingle 4 years ago

Mutual agency implies that every partner is both an agent and principal. He is an agent of other partners as he represents them and there by binds them through his decisions and acts. He is a principal as he too can be bound by the acts of other partners.

.... .... 4 years ago

Mutual agency is the legal relationship between partners in a partnership where each partner has authorization powers and the ability enter the partnership into business contracts. In other words, each partner in the partnership is an agent in the business and the authority to make business decisions that commit or bind the partnership, as a whole, to a business agreement with a third party or entity.

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