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An Agency Agreement for Consignment of Goods is a legal contract where the principal (consignor) appoints an agent (consignee) to sell goods on their behalf without transferring ownership until the goods are sold. The agreement defines the terms of consignment, including pricing, commission rates, responsibilities for storage and care of goods, reporting requirements, and the process for returning unsold items.

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Unless otherwise specified in the agreement, the consignor typically retains ownership and bears the risk until the goods are sold. However, the agent is usually required to take reasonable care of the goods while in their possession.

Only if the agency agreement explicitly grants that authority. Otherwise, the principal usually sets the pricing terms, and the agent must adhere to them.

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