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.
Oklahoma Ratification by Principal of Agent's Execution of Contract is a legal concept that allows a principal to confirm or approve the actions of their agent in entering into a contract on their behalf. It involves the principal acknowledging and accepting the contract as valid, even though it was initially executed by their agent. Ratification serves as a way for principals to give legal effect to contracts that were entered into by their agents without prior authorization. In Oklahoma, this ratification can be done explicitly or impliedly. Explicit ratification occurs when the principal expressly gives their consent to the contract that was executed by the agent. This could be done through a written or verbal confirmation, where the principal affirms their intent to be bound by the terms of the contract. Implied ratification, on the other hand, is inferred from the principal's conduct. It happens when the principal, with full knowledge of the agent's actions, accepts the benefits of the contract or acts in a manner consistent with their agreement to be bound by it. Ratification by the principal of the agent's execution of a contract has several implications under Oklahoma law. Firstly, it retroactively validates the contract as if it had been originally authorized by the principal. This means that the principal assumes all rights, obligations, and liabilities arising from the contract from the moment of its inception. Secondly, ratification also binds the agent to the contract, making them no longer personally liable for the obligations they undertook on behalf of the principal. The principal, once ratifying the contract, assumes full responsibility for fulfilling its terms. It is important to note that ratification is only valid if the agent had the legal capacity to bind the principal at the time of entering into the contract. If the agent exceeded their authority or lacked the necessary capacity, ratification may be deemed ineffective. In conclusion, Oklahoma Ratification by Principal of Agent's Execution of Contract is a legal mechanism that allows principals to confirm and accept contracts entered into by their agents. It can be done explicitly or impliedly, and it has significant ramifications for both the principal and the agent. Understanding the process of ratification is crucial for properly conducting business transactions in Oklahoma.
