Legal Definitions - special agency

A special agency occurs when one person (the agent) is given authority by another person (the principal) to perform a very specific task or a limited set of actions. The agent's power is narrow and precisely defined, typically for a single transaction or a particular project, rather than for ongoing or general business operations.

Here are some examples to illustrate this concept:

• Selling a Specific Item: Imagine Sarah is going on an extended trip and wants to sell her vintage car. She authorizes her friend, Mark, to act as her agent solely for the purpose of selling that specific car for a minimum price she has set. Mark's authority is limited to finding a buyer, negotiating within the specified price range, and completing the sale of that particular car. He cannot sell Sarah's house, her other belongings, or make any other financial decisions on her behalf.

  This is a special agency because Mark's authority is confined to one specific asset and one specific transaction.

• Legal Representation for a Single Case: David hires Attorney Emily to represent him in a specific breach of contract lawsuit against a former business partner. Emily's retainer agreement clearly states that her services are for this particular case only. She is authorized to file motions, attend court hearings, and negotiate a settlement related to that lawsuit.

  This demonstrates a special agency because Emily's authority as David's agent is strictly limited to that single legal matter and does not extend to any other potential legal issues David might have, such as a divorce or a criminal charge.

• Signing a Specific Document: A small business owner, Maria, needs to sign a crucial lease agreement for a new office space, but she is unexpectedly out of the country. She gives her assistant, Leo, a limited power of attorney specifically authorizing him to sign that particular lease agreement on her behalf on a certain date. Leo is not authorized to sign any other contracts, make hiring decisions, or manage the company's finances.

  This is a special agency because Leo's power as an agent is precisely defined for one specific task: signing one particular document.