Agent Legal Meaning and Definition

Here is a simplified definition of the legal term Agent.

Agent (noun): An agent is a person authorized to act on behalf of another person or entity (known as the principal) in legal or business matters. The actions of an agent, when acting within the scope of his or her authority, legally bind the principal in relations with third parties. This can include entering into contracts, negotiating deals, or making other important decisions. However, the agent's powers are typically limited to what has been granted by the principal. If an agent takes actions beyond their authority, the principle may not be bound unless the principle's behavior led a third party to reasonably believe that the agent had such authority, also known as "apparent authority".