An individual or entity legally empowered to act on behalf of another is a key concept in various legal and business contexts. This empowerment allows the designated party to make decisions, sign documents, and undertake actions that bind the person or organization they represent. For example, a corporate officer may act on behalf of a company, or a family member may hold the power of attorney to manage the affairs of another.
The capacity to delegate authority streamlines operations, enables efficient decision-making, and ensures continuity, especially in situations where the principal is unavailable or unable to act directly. Historically, the need for such representation arose from limitations in physical presence, specialized expertise, or legal requirements. This concept plays a vital role in enabling complex transactions and maintaining organizational functionality.