What is the term for actions taken by an agent under express or implied authority from the principal?

The term for actions taken by an agent under express or implied authority from the principal is agency by actual authority. This means that the agent has been given permission either explicitly (through direct instructions) or implicitly (through the circumstances or the nature of the relationship) to act on behalf of the principal.

When an agent operates under actual authority, they are acting within the scope of their granted powers, which allows them to engage in activities and make decisions that bind the principal legally. For example, if a principal hires an agent and specifies that they can enter into contracts for the purchase of goods, the agent has actual authority to execute those contracts.

Understanding this concept is crucial because it defines the boundaries of the agent's powers, ensuring that actions taken are legally binding on the principal as long as they remain within the authority granted. This establishes a clear relationship of responsibility and accountability between the principal and the agent.