What is the difference between express and implied agreements in forming an agency?

The distinction between express and implied agreements lies primarily in the manner and clarity of communication regarding the intent to form an agency relationship. Express agreements are those where the terms and consent of the agency are explicitly stated, either verbally or in writing. This means that both parties clearly understand and agree to the specific details of the agency role, including duties, responsibilities, and powers.

In contrast, implied agreements arise from the conduct or circumstances of the parties involved, where an agency relationship is established without any written or spoken words explicitly outlining the terms. This could occur in situations where a person acts in a way that suggests they are acting on behalf of another, and the other party accepts or recognizes this conduct, thereby forming an agency relationship through their actions alone.

The emphasis on clarity and directness in express agreements versus the reliance on behavior and context in implied agreements is crucial in understanding how agency relationships can arise in different scenarios.