What does the principal’s duty to cooperate involve?

The principal’s duty to cooperate fundamentally involves the requirement that the principal must assist the agent when necessary for the completion of the agent's tasks. This duty is rooted in the fiduciary relationship between the principal and the agent, where cooperation is vital for the effective execution of the agency agreement.

When a principal actively assists the agent, it ensures that the agent can perform their responsibilities more effectively and fulfill their duties as outlined in the agreement. This assistance can take many forms, such as providing necessary information, resources, or support that the agent requires to conduct their work efficiently. By failing to cooperate, a principal could create obstacles that hinder the agent's performance, which could lead to a breach of the agency agreement.

This principle of cooperation is essential in agency relationships because it emphasizes the mutual obligations of both parties, thus fostering a conducive environment for achieving the goals of the agency.