The situation determines whether an employee is an employee or an independent contractor. Neither the company nor the employee can determine the employee`s status by agreement. As the North Dakota Workmen`s Compensation Bureau said in a bulletin to real estate agents, “The office has noticed that many employers require those who work for them to sign forms for `independent contractors` so that the employer does not have to pay workers` compensation premiums for its employees. Such forms make no sense if the worker is actually an employee. Vizcaino v. Microsoft Corporation, discussed in section 25.3.2 “Employees versus Independent Contractors,” discusses the distinction. The agent is the broker hired by a buyer or seller (principal) to help them sell or buy real estate. A real estate agent who brings parties together to rent, buy or exchange real estate for remuneration is called a broker. Not all service contracts establish a master-servant relationship. An important distinction is made between the status of an employee and that of an independent contractorA person who is hired to achieve a result, but who is not subject to specific control by hiring. According to section 2 of the Restatement (Second) of Agency, “an independent contractor is a person who enters into a contract with another person to do something for him, but who is neither controlled by the other nor subject to the right of the other to control his physical conduct in the performance of the business”. As the name suggests, an independent contractor is legally independent. A plumber related to a contractor is an employee and representative of the contractor.

But a plumber who rents himself to repair pipes in people`s homes is an independent contractor. If you hire a lawyer to resolve a dispute, that person is not your employee or agent; He is an independent contractor. The terms “agent” and “independent contractor” are not necessarily mutually exclusive. In fact, by definition, “. An independent contractor is a representative in the broadest sense of the term who agrees to do something for the other at the request of another. Generally, the line between an independent contractor and an agent is not clear. 1. Flick v. Crouch, 434 p.2d 256, 260 (OK, 1967). Answer: B Explanation: Remember that a special agent represents the initiator in a particular transaction (G&S). A general representative represents a contracting authority in a number of related or special activities, such as this matter. A universal agent represents the client in all legal matters. Most agencies are contractually established.

Thus, the general rules of contract law dealt with in Chapter 4 “Introduction to contract law” in Chapter 12 “Remedies” govern the law of mandates. But agencies can also be created without a contract, by appointment. Three contractual principles are therefore particularly important: the first is the requirement of consideration, the second is the requirement of a written relationship and the third concerns contractual capacity. 1 – Special Agent – This is when an agent is authorized to represent a principal or client in a particular task or transaction. You`ve always wanted to be a special agent, haven`t you? Well, 007, here`s your chance. This is the type of agency that is usually created when a broker represents a buyer or seller in a real estate transaction. Only one specific transaction! Special starts with S and therefore also specific. An easy way to remember. The General AgentSomeone who is authorized to manage any type of business for the principal. has the authority to carry out a wide range of transactions in the name and on behalf of the principal.

The general agent may be the manager of a business or have a more limited but ongoing role – for example, as a purchasing agent or as a life insurance agent authorized to register customers for the head office. In both cases, the general representative is entitled to change the customer`s legal relationship with third parties. The person appointed as general agent has the authority to act in any manner required by the client`s business. In order to limit the powers of the general representative, the contracting authority must explicitly state the restrictions and yet the contracting authority can be held liable for any act of the representative that goes beyond its powers. Implicit agencies also arise when a person behaves like an agent and the “principal”, who knows that the “agent” behaves in this way, accepts and allows the person to impersonate an agent. These are the basic facts in Weingart v. Directoire Restaurant, Inc. in section 25.3.1 “Agency Constitution: Parental Responsibility for Contracts Entered into by Child “Agent”. In Baldwin v.

Tucker, 112 Ky. 282 (Ky. 1901), the court held that a general agent is a representative who is authorized to carry out all the transactions of his principal of a certain type or place. Think of John Alden (1599-1687), one of the most famous agents of American literature. He is said to have been the first man from the Mayflower to set foot on Plymouth Rock in 1620; He was a carpenter, cooper and diplomat. Its agency role – which is interesting here – was celebrated in Henry Wadsworth Longfellows “The Courtship of Miles Standish”. He was to court Priscilla Mullins († 1680), “the most beautiful servant in Plymouth,” on behalf of Captain Miles Standish, a brave soldier too shy to apply.