Commercial Law

Running head: COMMERCIAL LAW
Commercial Law
Name of Student
Name of University
Author Note

1
COMMERCIAL LAW
Table of Contents
Issue.................................................................................................................................................2
Rules................................................................................................................................................2
Application......................................................................................................................................5
Conclusion.......................................................................................................................................8
Reference.........................................................................................................................................9

2
COMMERCIAL LAW
Issue
The main issue in this case is whether LLA has any obligation under the agency law
issues towards Glitz Cruisers.
Rules
Under the common law agency can be described as a relationship between two parties in
which one of the parties authorises the other to be acting on his behalf for negotiation with
another party. The authorising party is called the principal and the party to whom the
authorisation has been given is called the agent.
The agents are seen to be having certain duties towards the principal in accordance to the
nature and terms of the agency agreement. These duties include-
 following the instructions of the principal;
 act in the interest and good faith of the principal as discussed in the case Lintrose
Nominees Pty Ltd v King [1995];
 making full disclosure of any personal interest for exercising of due care and skill
according to the as has been discussed in the case Mitor Investments Pty Ltd v General
Accident Fire & Life Assurance Corp [1984];
 maintaining confidentiality for any information that has been received from the agency
relationship.
The breach of duty of an agent is seen to be discussed in the High Court case ACCC v
Flight Centre Travel Group Ltd (2016).