Certification in Supplier Diversity Practice Exam

Which type of agent is assigned to ongoing activities or a series of transactions?

1. Special agent

2. General agent

3. Designated agent

4. Temporary agent

The correct answer is: General agent

The designation of a general agent is particularly relevant in contexts involving transactions where ongoing activities are required. A general agent has the authority to act on behalf of another party (the principal) across a broad range of matters rather than being limited to a specific task or a single transaction. This means the general agent is entrusted with continuous responsibilities and retains the power to manage the principal’s affairs in a more comprehensive manner. In the context of supplier diversity or business partnerships, a general agent might be responsible for managing relationships with multiple suppliers, overseeing regular interactions, and ensuring compliance with diversity initiatives. This broad scope of authority enables the general agent to be more integrated into the operational rhythms of the business, ensuring that transactions and relationships are maintained seamlessly over time. This is in contrast to other types of agents, such as special agents, who are assigned to perform one specific act or task, and therefore do not engage in ongoing activities. A designated agent typically refers to someone appointed for a certain role but does not inherently imply ongoing activities . Meanwhile, a temporary agent might only be present for a limited timeframe or specific project, therefore lacking the ongoing authority associated with a general agent.