What is one of the primary duties of an agent?

Study for the ICAEW ACA Certificate Level - Law Test. Dive into multiple choice questions and detailed explanations to prepare effectively. Get ready for your exam!

The primary duty of an agent is performance, which refers to the responsibility of the agent to carry out the tasks and obligations as set forth in the agency agreement. When an individual acts as an agent, they are expected to perform their duties with due care, skill, and diligence, adhering to the instructions or authority granted to them by the principal. This duty ensures that the agent works in the best interests of the principal and fulfills the specific responsibilities delegated to them, such as negotiating contracts or executing transactions.

While limitations, innovation, and delegation are relevant concepts in the context of agency, they do not capture the essence of what the agent is fundamentally required to do. Limitations may refer to the boundaries of the agent's powers; innovation might involve creative approaches or strategies, but is not a duty per se; and delegation generally pertains to the ability of an agent to assign tasks to others, which is not their core obligation. The focus on performance highlights the agent's role in actively engaging in tasks to meet the objectives defined by the principal.

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