
California Real Estate License Area 2 (Laws of Agency and Fiduciary Duties) Flashcards
What is the legal definition of ‘agency’ under California Civil Code § 2295?
Under Cal. Civil Code § 2295, an agency is a relationship arising from express or implied agreement where one person (the agent) represents another (the principal) in dealings with third parties. The agent’s actions within the scope of authority bind the principal as if the principal acted directly. This legal relationship creates fiduciary duties and obligations under California law.