Microsoft Corporation, which is discussed in section 25.3.2 "Independent Employees and Contractors," examines the distinction. For example, an agency relationship may be necessary: an agency relationship instead allows an agent to establish legal relationships or representations on behalf of the principal. There are several ways to create an agency relationship, which usually affects the legal relationship between the parties. A contract agent is responsible for carrying out specifically specified activities. is a person authorized to act only in a specifically designated instance or in a specific group of transactions. For example, a real estate agent is usually a special broker who is responsible for finding a buyer for the client`s land. .