In general, an undisclosed principal and the third party to a contract are contractually bound if the agent acts within the scope of his actual authority in making the contract.

Question

Quizplus · Accepted Answer

If an agent acts within their actual authority, the undisclosed principal is bound by the contract made with the third party, as the agent's actions are legally considered those of the principal.

In General, an Undisclosed Principal and the Third Party to a Contract