Flo, an agent for Grover, enters into a contract on Grover's behalf with Hong that must be in writing to be enforceable under the Statute of Frauds. Failure to comply with the equal dignity rule, with respect to this contract, can make the contract voidable at the option of
A) Flo.
B) Grover.
C) Hong.
D) none of the choices.

Question

Flo, an agent for Grover, enters into a contract on Grover's behalf with Hong that must be in writing to be enforceable under the Statute of Frauds. Failure to comply with the equal dignity rule, with respect to this contract, can make the contract voidable at the option of​
A) ​Flo.
B) ​Grover.
C) ​Hong.
D) ​none of the choices.

Quizplus · Accepted Answer

The equal dignity rule requires that an agent's authority to enter into a contract that must be in writing to be enforceable be in writing as well. In this case, Flo is acting as Grover's agent and therefore must have written authority to enter into the contract with Hong. Failure to comply with this rule could make the contract voidable at the option of Grover, the principal.

Flo, an Agent for Grover, Enters into a Contract on Grover's