Termination of the Agency Relationship

When is an agent's authority effective after termination?

An agent's authority continues to be effective as to acts performed in good faith until the agent receives actual knowledge of the termination

Who may terminate an agency relationship?

both the principal and the agent have the power to terminate the agency relationship at any time

How can a principal terminate an agent's apparent authority?

by notifying all third parties with whom the agent has dealt who might expect the agent to still be acting for the principal

What must occur for a termination to be effective?

the principal must notify the agent of termination, unless the agency naturally expires upon completion of an action or the agency is set to expire at a particular time

When is termination of an agency relationship automatic?

upon the death of the principal