What are the key duties of an agent to a principal?

The choice identifying loyalty, obedience, disclosure, confidentiality, accounting, and reasonable care captures the essential duties an agent owes to a principal.

Loyalty is fundamental as the agent must place the interests of the principal above their own, avoiding any conflicts of interest. Obedience entails following the lawful instructions of the principal. Disclosure requires the agent to inform the principal of any relevant information that might affect the principal's decisions or interests. Confidentiality ensures that sensitive information remains protected and is not disclosed to unauthorized parties, thus maintaining trust in the agency relationship. Accounting involves keeping accurate records and providing transparency about the handling of the principal's assets. Reasonable care refers to the agent's responsibility to act with the skill and diligence that a competent agent would exhibit in similar circumstances.

These duties are critical in establishing a fiduciary relationship where the principal can rely on the agent to act in their best interests with professionalism and integrity.