14.10 Law Relating to Agency in Nepal

The Muluki Civil Code 2074, Part 5, Chapter 10 — the frame: creation, the agent's duties, the principal's bond, the termination discipline; The authorization deed in practice: the wakalatnama before courts (the advocate's authority); the notarized power of attorney for property and banking dealings — the Notary Public Act 2063 (notarial certification) and the registration law's discipline for property- affecting authorizations; Sectoral overlays: insurance agency (the Insurance Act's regulatory face), travel and freight agencies, securities intermediaries, and the state's contracting through authorized representatives (the Public Procurement Act's discipline); Judicial discipline: the Supreme Court's agency line polices the authority's proof — an agent pleading power must show it; the undisclosed principal's receipt of benefits treated as ratification's equivalent in the commercial jurisprudence. Exam Focus Long questions: "Discuss the modes of creating agency, with ratification's requirements and effects." / "Examine the rights and duties of principal and agent." / "'An agent cannot delegate.' State the rule and its exceptions, and distinguish a sub-agent from a substituted agent." Short questions: qui facit per alium; the del credere agent; coupled-with-interest; the agent's lien; agency by estoppel; the wakalatnama; relation-back. Trick areas: (i) no consideration is needed to create agency — consent suffices; (ii) ratification must be of the whole act with full knowledge — informed, entire, timely; (iii) the principal is bound only within…