What concept describes the situation where an agent is vested with a present interest in an agency activity?

The concept of "agency power coupled with an interest" refers to a situation where the agent has a vested interest in the property or transaction they are involved in as part of their agency role. This vested interest typically provides the agent with certain rights or protections concerning the agency activity.

When an agent possesses an interest in the property or subject matter of the agency, their authority may be strengthened, as their personal stake in the outcome incentivizes them to act diligently and in good faith for both themselves and the principal. The authority is critical because it adds a layer of security and encourages agents to perform their functions consistently and responsibly.

This concept is distinct from actual authority, where the agent is expressly granted authority by the principal, and implied authority, where authority is inferred from the position or the circumstances of the agency. Moreover, sub-agent authority relates to the powers granted to a sub-agent hired by the original agent, which does not inherently imply a personal interest from the agent in the agency activity.

In summary, "agency power coupled with an interest" underscores the dynamic where an agent’s vested personal interest in a transaction enhances their role and accountability in the agency relationship.