Agency

In Oregon, what is a 'ratification' of an agent's unauthorized action?

AOREA's approval of a new agency agreement
BThe principal accepting and approving an action taken by the agent without prior authorization✓ Correct
CThe agent's written acknowledgment of their duties
DA court order confirming the agency relationship

Explanation

Ratification occurs when a principal accepts the benefits of or approves an agent's previously unauthorized action, thereby retroactively validating it. For example, if an Oregon listing broker accepts an offer negotiated by an unlicensed assistant, the broker's acceptance may ratify the assistant's actions — though this raises licensing concerns. Principals must be careful about what actions they ratify.

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