Jack was fired by Larry but decided to try to win back his job as agent by getting a big new contract.He approached Sharon,a new client,and made a pitch to sell Larry's product.Sharon agreed to buy 100.Jack tells Larry.What are the legal consequences?
A) Larry has to hire Jack again and then make the deal.
B) Larry would have to ratify the deal to get the benefit of the contract.
C) Larry would have to negotiate the deal with Sharon himself.
D) Jack would forfeit his commission if Larry ratified the contract.

Question

Quizplus · Accepted Answer

Even though Jack was fired by Larry, he still attempted to sell Larry's product to a new client. This could be considered an unauthorized act on Jack's part. However, if Larry ratifies the deal and accepts the benefits of the contract, it can be assumed that Larry has given his approval, and thus the deal would be legally binding. Larry would not be obligated to rehire Jack in this scenario.

Jack Was Fired by Larry but Decided to Try to Win