Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

O'Leary Corp. is sued in Texas court by a supplier for breach of contract. It hires the Dewey, Cheatem & Howe law firm to represent

O'Leary Corp. is sued in Texas court by a supplier for breach of contract. It hires the Dewey, Cheatem & Howe law firm to represent it in the contract dispute and gives the firm permission to settle the dispute for up to $100,000. The firm does negotiate a settlement, but for $110,000. Which is most accurate about the validity of that settlement contract?

  • The settlement contract is valid because Dewey, Cheatem & Howe had express authority to negotiate a settlement and used its discretion in doing so
  • B.The settlement contract is invalid because Dewey, Cheatem & Howe exceeded the scope of its express authority
  • C.Although Dewey, Cheatem & Howe exceeded the scope of its express authority, the settlement contract would be valid if O'Leary Corp. ratifies it
  • D.The settlement contract is voidable, but only at the option of O'Leary's supplier.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Law Express English Legal System

Authors: Emily Finch, Stefan Fafinski

8th Edition

1292295457, 978-1292295459

More Books

Students also viewed these Law questions

Question

Find a, b, c and d if (a) (b) (c) (d) a b b-c 3 1 2 2

Answered: 1 week ago

Question

5. How can I help others in the network achieve their goals?

Answered: 1 week ago