PI operations and systems will be entirely computerized, and the PI owners want to begin the process to develop the IT systems to be in place prior to opening of the business. They have had several meetings with Teri Lang, an IT consultant whom they know from prior business dealings to be a skilled and trustworthy expert. Teri has agreed to develop and direct installation of an appropriate system for PI.
The owners want to give full authority to Teri to evaluate and purchase the best computer systems, associated hardware, and software programs for the business. The PI owners recognize Teri as the authority in this matter and want Teri to represent them as their agent in this process.
The PI owners are unfamiliar with agency agreements, and know they need to ensure that their agreement with Teri will be validly and properly written. Thus, they have asked BCA to create a contract to reflect their agreement with Teri, so that Teri can begin the process of developing an IT system immediately.
Instructions: As you continue to be actively involved with the PI project, Pat and Gale direct you to draft an agency contract for PI.
The contract should represent the agreement between the PI owners and Teri Lang defining the agency relationship and Teri's authority as agent.
Write a sample contract that reflects the principal-agency agreement between the PI owners and Teri Lang. The contract should be valid and enforceable, and include ONLY the following terms:
express purpose(s) of the agency agreement
specific authority granted to Teri under the agreement
time frame for the agency relationship/agreement
amount of pay for Teri''s work and how often pay will be distributed to Teri
how the agreement will be terminated
any additional terms relevant and essential to the agreement
The sample contract should be simple, clear, direct, and not overly complex.
DO not use a sample form contract from the internet; it will not comply with the instructions and facts for this activity, and will not meet the requirements for this learning activity.