Question

The three parties in an agency relationship and the function of each are the principal (the person giving the direction), the agent (the person doing the action at the principal's direction), and _____.
the third person or beneficiary (the person who benefits from the agent's action)

the defendant (the person defending the actions of the agent)

the coordinator (the person who deals with the logistics of the action)

the administrator (the person in charge of the administration)

Answer 1

Answer:

A). the third person or beneficiary (the person who benefits from the agent's action).

Explanation:

An 'agency relationship' is characterized as a legal association through which an individual(the agent) is allowed to take decisions or actions on the principal's part with his due consent. The three persons or parties that are involved in such a relationship include the principal who authorizes the agent to act on his behalf, the agent who is the entrusted individual allowed to act or do business in the place of the principal, and the third person who is directly dealt by the agent(on principal's part). Thus, option A is the correct answer.