In the context of employment, an AOR can act on behalf of a company to handle employment-related legalities in foreign countries, such as contract execution and compliance with local labor laws. This is especially useful for companies expanding globally without establishing a local entity.

Practical Example of an Agent of Record:

A U.S.-based tech company expanding into Italy might use an AOR to manage the employment contracts and legal compliance for its new Italian team members, ensuring adherence to local employment regulations.

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