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the next contract is the contract of agency Ive already told you what agency is agency is a relationship between two people first the principle second the agent its a relationship between them where in the principle appoints the agent the principal appoints the agent to act on his behalf to work on his behalf so agent is a person who acts on behalf of the principal who works for the principal and because of this reason principal directly becomes responsible and liable for all the acts performed by the agent in the course of agency however to create an agency no consideration is required because agency can be created even orally tomorrow I can tell you that now on you are my agent I pay you five percent commission on whatever sales you though of the products that I give you the contract is created you have not sold anything for me I have not given any Commission actually yet there is a contract with Venus this is a contract of agency we may put it it put it in writing or we may off to