Purporting to Act on Behalf of Otton Mining Inc, Gaetan

question 39

Multiple Choice

Purporting to act on behalf of Otton Mining Inc, Gaetan signed a contract to purchase some mining claims from Boucher.Boucher believes it is contracting with Otton.In fact, Gaetan had no authority from Otton to contract on its behalf.He had never discussed buying the claims with Otton, but he thought that Otton would be interested in the claims and would pay him a commission for arranging for Otton to buy them.Which of the following is TRUE?

• A)The contract can never be binding on Otton since it was negotiated without any authority from Otton.
• B)The contract will be binding on Otton if Otton ratifies the contract either expressly or impliedly.
• C)The contract is only binding on Gaetan personally and there is no way for Otton to be bound by this contract even if Otton wants this contract.
• D)The contract is binding on Gaetan personally and he can only avoid liability if Otton ratifies the contract.
• E)The contract is binding on Otton and Gaetan.

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Definitions:

Arsenic Ions

Ions that contain arsenic in different oxidation states, often toxic and present in various environmental and industrial contexts.

Orpiment

A natural mineral composed of arsenic sulfide (As2S3), historically used as a pigment and with various industrial and medicinal applications.

Soluble Sulfide

A compound containing the sulfide ion that is soluble in water, often producing hydrogen sulfide gas upon contact with acid.

Arsenic

A toxic metalloid element with the symbol As and atomic number 33, known for its various allotropes and compounds.