Understanding Agency Coupled with an Interest
An agency coupled with an interest is a type of agency relationship where the agent possesses a beneficial interest in the subject property. This unique arrangement not only empowers the agent to control the property but also guards the agency relationship against external disruptions. This type of agency is particularly advantageous as it allows the agent to represent the principal with augmented authority.
Real-World Example
Consider the scenario where John Smith and his wife, Jane, jointly own a beautiful house. Jane, a seasoned real estate broker, enters into a listing agreement that grants her the authority to manage the property. In this situation, Jane has an agency coupled with an interest. Her beneficial interest in the property, alongside her professional capacity, ensures that the property’s representation is both robust and protected from external interference.
By coupling the agency with an interest, Jane protects her role and sidelines extraneous challenges, thus stabilizing the property’s management and facilitating smoother operations.
Related Terms: Principal, Agent, Listing Agreement, Real Estate Broker, Property Interest.
