Agency is a relationship based on an agreement authorizing one person, the agent, to act for another, the principal. For example an agent may negotiate and make contracts with third persons on behalf of the principal. If an agent tries to do an act for his principal that he is not specifically authorized to do, the principal has the choice of ignoring the transaction or ratifying it. Generally, even an unauthorized act may be ratified.
Florida Ratification by Principal of Agent's Execution of Contract refers to the legal process by which a principal validates or approves the actions of an agent in executing a contract on their behalf. It is a crucial aspect of agency law and serves to validate contracts that may have been initially unauthorized by the principal but later consented to. In the state of Florida, there are two types of ratification by the principal of an agent's execution of a contract: express ratification and implied ratification. Express ratification occurs when the principal explicitly acknowledges and accepts the agent's actions and agrees to be bound by the contract. This can be done orally or in writing, as long as the principal clearly communicates their intention to affirm the contract. The ratification must cover all material terms of the contract and be made with full knowledge of the facts surrounding its execution. Implied ratification, on the other hand, occurs when the principal's conduct implies their intention to be bound by the contract. This can be inferred from their actions, such as accepting the benefits of the contract or failing to promptly disavow it upon learning about the agent's unauthorized actions. However, for implied ratification to be valid, the principal must have had knowledge of all material facts relating to the contract. It is important to note that ratification can only occur if the agent had the authority to act on behalf of the principal in the first place. If the agent acted beyond their granted authority, ratification cannot take place, and the contract may be deemed voidable. Ratification serves to protect the interests of all parties involved by validating contracts that may have been initially unauthorized but later accepted by the principal. It allows for the smooth functioning of agency relationships and ensures that contracts are enforceable under the law. In summary, Florida Ratification by Principal of Agent's Execution of Contract is a legal process through which a principal validates or approves the actions of an agent in executing a contract on their behalf. The two types of ratification in Florida are express ratification and implied ratification, each requiring different forms of acknowledgment or conduct from the principal. Ratification ensures the enforceability of contracts and promotes the proper functioning of agency relationships within the state.
