What duty requires an agent to follow all lawful instructions from the client?

Prepare for the Champions Law of Agency Test. Use flashcards and multiple choice questions with hints and explanations to boost readiness. Get exam-ready!

The duty that requires an agent to follow all lawful instructions from the client is obedience. This obligation is fundamental in the agency relationship, as it ensures that the agent acts in accordance with the client's wishes and adheres to the terms of the agreement made with the client. When an agent exercises the duty of obedience, they must not only comply with the client's lawful instructions but also ensure that their actions align with the goals and intentions of the client.

This duty is crucial because it fosters trust and maintains a productive working relationship between the agent and the client. By fulfilling this obligation, the agent demonstrates their commitment to acting in the client's best interests, while also protecting the client from any potential liabilities that may arise from unauthorized actions.

In contrast, fiduciary duty encompasses a broader range of responsibilities, including loyalty and disclosure. Loyalty requires the agent to act in the best interests of the client, while disclosure involves informing the client of any material facts that may affect their decisions. Although these duties are integral to the agency relationship, they do not specifically mandate the agent to follow all lawful instructions from the client, as obedience does. Therefore, obedience is the specific duty that clearly relates to following the client's lawful directives.

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