third-party agent
Definition
A third-party agent is a person or company you authorize to act on your behalf when dealing with someone else. They have the legal power to make decisions, sign documents, or conduct business as if you were doing it yourself, which means their actions can legally bind you to agreements.
Example
If you hire a real estate broker to negotiate and sign a lease for your new retail space, that broker is acting as your third-party agent and the landlord can hold you to whatever the broker agrees to.
Watch Out
Because a third-party agent can legally commit you to contracts and obligations, you should always put their authority in writing and clearly spell out exactly what they are and are not allowed to do on your behalf.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.