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Unformatted text preview: exercise reasonable care and diligence in performing tasks Finally, there is the duty to account which means the agent must keep proper records showing receipts and expenditures so a complete accounting may be rendered. Principles have the duty to compensate its employees according to the contract or with generally accepted accounting principles; this applies in general as well as sales representatives who work off of commission. Commission must be paid in accordance with the contract. The duty to reimburse is when the agent has the right to reimbursement for money properly expended on behalf of his or her principal. And finally the duty to indemnify means to hold a person harmless or free from liability. Basically it means that an agent cannot be held responsible for the actions carried out under orders from the principal....
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This note was uploaded on 08/30/2011 for the course BUSINESS 101 taught by Professor Wase during the Spring '11 term at Grantham.
- Spring '11