Today’s merchants can no longer merchandize their commodities and products directly and self-reliantly at the  international level as the past days, since there are numerous elements like cultural differences- reduction of costs and so on that have contributed to diffusing and have caused. sale and distribution agencies and even services like insurance in Iran and at the international level to become prevalent From distant past, agency as the single most important kind of classic contracts has been the subject of commerce law which should have attracted enough theoretical discussions by now, however not enough attentions have been paid enough to the legal dimensions of these forms of contract.

Iranian commerce law has incompletely addressed one of components of the legal institution that is commission, whereas different forms of the contract and largely institution of agency has not been examined entirely at any Iranian legal regulations, even the legal scholars have surveyed it briefly.

Therefore, the present study tends to consider the legal meaning of agency and examine the legal and jurisprudence resources of Iran and its comparison with the common law aiming two issues:

First, a thorough study of the historical trend and the legal meaning of the institution in terms of the necessity of the requirements of accomplishment and the effects of agency and also the dissolution of contract of agency in general.

Second, a detailed examination in commerce law that maybe thereby useful for better understanding and introducing this institution.