What are the duties of a principal towards an agent?

Explain the duties a principal is expected to perform towards an agent.

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(i) Remuneration
The principal is obliged to remunerate the agent for services rendered.
The principal is not bound to remunerate the agent if he/she has acted negligently or has made a secret profit without disclosure.

(ii) Indemnity
The principal is bound to compensate the agent for any loss or liability arising in the course of discharging his obligations
The principal is only liable to indemnify the agent for liability arising while the agent was acting within the scope of his authority.

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maurice.mutuku answered the question on December 30, 2016 at 15:03

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