This question is based on the Module: Commercial Law

Ramona Smith, is not authorised by Fawaz Blane to act as an agent. Ramona is aware that Fawaz is trying to purchase a piece of property of the coast of Cape Town to undertake property development. Ramona becomes aware of a profitable investment opportunity involving elite property on the coast of Cape Town. Unfortunately, Ramona must ask quickly and is not given the opportunity to confirm her intentions prior to acting. Ramona informs the seller that she is Fawaz's agent and quickly secures the sale of that prime property. Thereafter Ramona informs Fawaz that she acted as his agent and he must ratify the act. Fawaz is overjoyed and excited to do so, he acquires the property and gives Ramona a gift of R50000.00 as a token for his appreciation. In light of the above answer the following questions Using examples, identify and explain the requirements that must be adhered to when a principal ratifies an act conducted by an agent. Question 2 (10 Marks) Discuss the circumstances under which termination of agency will occur