Pascal is a buyer for Kelly Benjamin department store in Kentucky. While Pascal was buying visiting California, he found a solar car on sale for $3,000. Pascal contracts to buy the car for Kelly Benjamin, who wants to buy a solar car. Kelly instructs the seller to ship the car. Under these circumstances:
A) Kelly is considered to have ratified the contract.
B) Kelly is not liable since Pascal made the purchase.
C) Pascal and Kelly are both liable on the contract.
D) Pascal is considered to have ratified the contract.

Question

Quizplus · Accepted Answer

Kelly is considered to have ratified the contract and is liable for the transaction. One may become liable through ratification for an unauthorized act that was done by an agent. Ratification may occur with respect to either an act of an agent who has exceeded the authority given or an act by someone who has not been appointed an agent at all. In this case, by asking the seller to ship the solar car, Kelly has ratified the contract and is liable on it.

Pascal Is a Buyer for Kelly Benjamin Department Store in Kentucky