What type of agency relationship authorizes an agent to manage all of a principal's affairs within specified areas?

A general agency relationship is characterized by the authority it grants an agent to handle various affairs on behalf of the principal across specified areas. This arrangement allows the agent to manage multiple aspects of the principal's business or personal matters, as defined by the terms of the agency agreement.

In such a relationship, the agent has broad responsibility, which might include tasks like negotiating contracts, overseeing financial transactions, or making decisions related to specific areas of the principal's interests. The general agent can act on behalf of the principal, and their actions within the scope of authority bind the principal.

In contrast, a special agency is limited to a specific task or transaction, meaning the agent does not have the authority to act beyond that defined situation. A universal agency grants the agent authority to act for the principal in all matters, which is broader than a general agency but less common in practice. Designated agency refers specifically to real estate practices where a broker designates an agent to represent a buyer or seller, which also does not encompass the wide-ranging authority implied by general agency.

Thus, general agency is the correct choice as it captures the essence of an agent’s ability to manage various affairs within specified areas on behalf of the principal.