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To form an agency, there must be a clear agreement between the principal (the party granting authority) and the agent (the party acting on behalf of the principal). This relationship typically requires mutual consent, where the agent is authorized to act on behalf of the principal in specific matters. Additionally, the agent must have the legal capacity to enter into contracts, and the agency's purpose should be lawful. Proper documentation, such as an agency agreement, can help clarify the terms and responsibilities of both parties.

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1mo ago

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