Hopkins v. Everly
Hopkins v. Everly
Opinion of the Court
Opinion by
The substance of this case lies in a very narrow compass. The appellant as agent for a disclosed principal sold to plaintiffs a house, with an agreement that possession should be given within ninety days. This latter agreement was in excess of his authority, and if his principal had refused to be bound by it, the agent would have been personally liable to the plaintiffs for any resulting damages: Kroeger v. Pitcairn, 101 Pa. 311. But appellant’s principal instead of repudiating the agreement, first offered fairly to rescind if plaintiffs desired, and then ratified and carried out the agreement in a manner
Judgment reversed.
Reference
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- Syllabus
- Agency—Authority—Ratification—Settlement with principal—Release. An agent who makes a contract in excess of his authority and by which his principal refuses to be bound, is personally liable for any damages resulting to the other party to the contract. But where the principal, instead of repudiating the agreement, ratifies the agreement in a manner and upon terms agreed to. by the other party, such ratification is equivalent to antecedent authority in the agent and takes all question of his individual liability out of the case. When an agent in his own name, but for a disclosed principal, makes a contract to sell real estate, with an agreement to give possession within a certain time, and this part of the agreement is in excess of his authority, a settlement by the purchasers with the principal in which the purchasers accept an allowance on account of failure to give possession within the time limited and take a deed for the property, will release the agent as well as the principal.