Agency & Regulation: Agency Termination

Question 1

Who has the right to terminate the agency before the interest has expired ?

Answer 1

A principal does not have the right or power to terminate an agency coupled with an interest.

In any agency , the Agent may terminate at any time without liability if no specific period for the agency has been established

Question 2

Under the Restatement of the Law Third Agency

Answer 2

Apparent authority may still exist after constructive notice of the termination

Apparent authority of the agent continued until the third party receives notice.

But an efficient notification ( actual, not constructive) is required if the third party had already dealt with the agent.