27.03.2013 Views

Cork insulation; a complete illustrated textbook on cork insulation ...

Cork insulation; a complete illustrated textbook on cork insulation ...

Cork insulation; a complete illustrated textbook on cork insulation ...

SHOW MORE
SHOW LESS

You also want an ePaper? Increase the reach of your titles

YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.

CONTRACT LAW 51c<br />

The four essentials of a legal c<strong>on</strong>tract are, therefore:<br />

(1) Competency.<br />

(2) Legality.<br />

(3) Agreement.<br />

(4) C<strong>on</strong>siderati<strong>on</strong>.<br />

Competency—A sane pers<strong>on</strong> who has attained his majority is c<strong>on</strong>sidered<br />

competent to make any legal agreement or c<strong>on</strong>tract. The<br />

disabilities of married women in the matter of c<strong>on</strong>tracts are too numerous<br />

to touch up<strong>on</strong> here. Without intent to cast aspersi<strong>on</strong> <strong>on</strong> mar-<br />

ried women, we shall also omit reference to those disabilities per-<br />

taining to aliens, c<strong>on</strong>victs, infants, insane pers<strong>on</strong>s, and drunkards.<br />

The Federal or any state government may become a party to a<br />

c<strong>on</strong>tract, and may sue <strong>on</strong> their c<strong>on</strong>tracts and enforce them; but the<br />

reciprocal of this is not true. Neither the United States nor any<br />

state of the uni<strong>on</strong> can be sued without its c<strong>on</strong>sent. However, all<br />

public corporate governments subservient to that of the state can<br />

be sued <strong>on</strong> their c<strong>on</strong>tracts.<br />

A corporati<strong>on</strong> has no powers for entering into or performing c<strong>on</strong>tracts<br />

bey<strong>on</strong>d those given it by the state in its charter, because<br />

officers of corporati<strong>on</strong>s are not in such case held to be pers<strong>on</strong>ally<br />

liable. Its capacity for transacting business, however, is not limited<br />

by the specific privileges granted in its charter, but by implicati<strong>on</strong> is<br />

necessarily extended to include such other powers as may be required<br />

for the <str<strong>on</strong>g>complete</str<strong>on</strong>g> c<strong>on</strong>summati<strong>on</strong> of its specific purposes.<br />

A c<strong>on</strong>tract by an agent or representative is not valid unless the<br />

principal is himself competent to enter into a c<strong>on</strong>tract. Nevertheless,<br />

a c<strong>on</strong>tract by an agent is valid if the principal is competent even<br />

though the agent be incompetent to enter into a c<strong>on</strong>tract as princi-<br />

pal. The legality of the acts of an agent or representative is similar<br />

to the legality of the acts of a corporati<strong>on</strong>. As a corporati<strong>on</strong><br />

receives its authority from the state for the c<strong>on</strong>duct of a particular<br />

kind of business, so an agent receives his authority from his prin-<br />

cipal. Should the agent exceed his express and implied authority,<br />

the principal is privileged to repudiate his acts; and the other party<br />

to the c<strong>on</strong>tract has no recourse except against the agent himself. In<br />

order that an agent may relieve himself from all resp<strong>on</strong>sibility in<br />

the signing of a c<strong>on</strong>tract, the documents must reveal, either in its<br />

body or in the signature, who the principal is; as a mere signing of<br />

a c<strong>on</strong>tract by a pers<strong>on</strong> as agent will not relieve the <strong>on</strong>e so signing<br />

from pers<strong>on</strong>al resp<strong>on</strong>sibility unless the document does reveal the<br />

principal. The eminently satisfactory way is to have the document<br />

specifically state that it is not to be c<strong>on</strong>strued as a c<strong>on</strong>tract until<br />

approved by some officer of the corporati<strong>on</strong>, unless the corporati<strong>on</strong><br />

elects to delegate unusual authority to the agent and the other<br />

party to the agreement is willing to trust the agent not to exceed<br />

his express and implied authority.

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!