The law of agency is a commercial law subject concerning legal relationships established by contracts or similar kinds of agreements with the general effect of empowering agents to act on the behalf of others. As such, this branch of legal theory will pertain to such agencies as those shared between agents and principals, agents and third parties, and principals and third parties.
The law of agencies comes under the coverage of common law, and thus, can be differentiated from that of civil laws. The Latin phrase “qui facit per alium, facit per se,” or “the one who acts through another, acts in his or her own interests” can be referred to as a description of the law of agency. Laws of agency can, moreover, provide for such various agencies as those of universal agents, general agents, or special agents, and can create either actual or apparent authority.