What can be done if I am a business owner and my husband signed a contract which he thought was a proposal?
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What can be done if I am a business owner and my husband signed a contract which he thought was a proposal?
He stated, “My wife has to approve this first”. The company went ahead and put the contract in effect. Am I liable? This is an internet advertising company.
Asked on July 10, 2015 under Business Law, Ohio
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
You are most likely liable: 1) your husband should have simply not signed if he needed to discuss it first or get your approval--once someone (or an agent of a company) signs a contract, they are held to it; 2) if, as I suspect, to a reasonable outside person, you husband (husband of the owner) would seem to have the authority to enter into the contract, they may rely on that apparent authority; 3) thinking it was a proposal is no defense--the law presumes (and requires) that people read and understand what they sign.
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