AgentAccording to section 182 of the Indian Contract Act,an agent is a person employed to do any act for another or to represent

another in dealing with third persons.The person for whom such act is done,or who is so represented,is called the principal.The relationship between the agent and the principal is called the agency.

Sub-agentSection 191 defines a sub-agent as a person employed by and acting under the control of the original agent in the business of the agency.Thus sub-agent is an agent appointed by an agent.The relation of the sub-agent to the original agent is as between themselves that of agent and principal.An agent who employs a sub-agent has the duties and liabilities of a principal to him.Sub-agent acts under the control of the original agent and the principal is not bound by his acts as there is no privity of contract between a sub-agent and principal.

Substituted AgentWhen an agent holding an express or implied authority to name another person to act in the business of the agency,has accordingly,named another person,such a person is not a sub-agent but a substituted agent. The substituted agent shall be taken as the agent of the principal for such part of the work as is entrusted to him(Section 194). Example: A directs B,his solicitor to sell his estate by auction and to employ an autioneer for the purpose. B names C an autioneer to conduct the sale. C is not a sub-agent. He is substituted agent of A.

Difference between Sub-agent and Substituted agentBoth sub-agent and the substituted agent are appointed by the original agent but they are not the same. The following points of difference may be noted:(1) A sub-agent works under the direct control of the original agent whereas a substituted agent works under the control of the principal. (2) The agent not only appoints the sub-agent but delegates all or some of his duties also. The agent does not delegate any part of his work to the substituted agent.

(3) There is a privity of contract between the principal and the substituted agent. But there is no such privity as between the principal and the sub-agent. The principal cannot sue the sub-agent or be sued by him. (4) A sub-agent is not liable to the principal except in case of fraud or wilful wrong. He is responsible only to the agent,whereas the substituted agent is responsible only to the principal and in no case to the agent. (5) The agent is responsible to the principal for the acts of the sub-agent but not so for the acts of substituted agent. (6) In case of sustituted agent,the duty of agent comes to an end. But in case of sub-agent he remain liable for his acts as long as sub-agency continues.