About principles of the law of agency agency is a pervasive institution fundamental to commercial activity inherent to legal personality enabling against deteriorating capacity. Agency law in the united kingdom is a component of uk commercial law and forms a core set of rules necessary for the smooth functioning of business agency law is primarily governed by the common law and to a lesser extent by statutory instruments. Being aware of the basic legal principles behind agency law is important because of the significant contractual obligations and other liabilities that may result from your actions as an agent or principal. Chapter two agency a introduction the law of agency is the law of delegation ie the legal principles that govern the ability of one person the principal to have another person the agent act on his behalf
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