Which type of agency relationship involves a single task for the agent to complete?

Prepare for the National Salesperson Exam with multiple choice questions, each offering explanations and hints. Hone your skills and get ready to succeed on the test!

The correct choice is the special agent, which refers to an agency relationship in which the agent is employed to perform a specific task or activity on behalf of the principal. In this relationship, the authority of the agent is limited to that particular task, making it distinct from other types of agency relationships.

For instance, a real estate agent hired to sell a home is a special agent. Their role is confined to that single transaction, and once the home is sold, the agency relationship typically ends. This specialization allows for focused expertise in the particular task, ensuring that both the agent and the principal can concentrate their efforts and resources on achieving that specific goal.

In contrast, a general agent has ongoing responsibilities and can act on behalf of the principal in a broader set of activities, managing multiple tasks as required. A universal agent has authority to act on behalf of the principal in all matters, encompassing a wide range of activities, which is much broader than what is seen in a special agency. A dual agent, on the other hand, represents both the buyer and the seller in a transaction, which also diverges from the singular focus of a special agent. Understanding these distinctions helps clarify how agency relationships function in various scenarios.

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