A contract is not entitled or not if one of the parties is unable to enter into a contract. If the master and agent are not able to have abilities – z.B. a minor appoints another minor to negotiate or sign an agreement – there can be no question of the nullity of the contract. But let`s assume that only one or the other has no capacity. In general, the law focuses on the client. If the client is underage or lacking in capacity, the contract can be avoided even if the agent is fully competent. However, there are some situations where the officer`s capacity is significant. Thus, an incompetent agent cannot hire him. Most oral agency contracts are legally binding; the law does not require them to be reduced to writing. In practice, many agency contracts are written to avoid evidence problems. And there are situations in which an agency contract must be written: (1) if the Agency`s agreed objective cannot be achieved within one year or if the agency relationship must last more than one year; (2) in many states, an agreement on the payment of a commission to a real estate agent; (3) in many states, the power granted to a broker to sell real estate; and (4) business-to-business contracts in several states.
It has become more difficult because states are not consistent in the nature of a partnership. Some states choose the partnership as no more than an aggregate of individuals who have joined the company. Others treat the partnership as a business entity and give the partnership a legal personality as a business. Thus.B. in English law, it is a partner of the agents of other partners, while in Scottish law, « a [partnership] is a different legal entity from the partners that make up it »[10] and a partner is therefore the agent of the partnership itself. This form of agency is inherent in partner status and is not the result of a contract with a client. [Citation required] The Partnership Act 1890 of the United Kingdom (which includes both England and Scotland) provides that a partner acting within its effective (explicit or tacit) powers will bind the partnership if it does something within the normal framework of its partnership activities. Even if this tacit power has been revoked or limited, the partner has obvious powers, unless the third party knows that the authority has been compromised. Therefore, if the partnership wants to limit a partner`s authority, it must explicitly declare the restriction to the world.
However, there would be little difference in content if English law were changed:[11] The partners will link the partnership and not their partners individually. To this end, the knowledge of the acting partner is served to the other partners or to the company, if a personality of its own. The other partners or the company are awarding entities and third parties are allowed to consider that the client has been informed of all relevant information. This causes problems when a partner acts fraudulently or negligently and causes losses to the company`s customers. In most countries, a distinction is made between knowledge of the company`s general activity and confidentiality issues, as they relate to a customer.