Pannebaker v. Tuscarora Valley Railroad

Citations

• 219 Pa. 60
• 67 A. 923
• 1907 Pa. LEXIS 604

Syllabus

<p>Contract — Railroad—Agreement as to siding — Authority of president— Ratification of contract.</p> <p>Where an owner of land abutting on a railroad enters into an agreement with the president of the railroad company to erect a sawmill, for the consideration, among other things, of the company constructing a siding for the use of the mill, and the contract is completely carried out, and both parties enjoy the benefit of it for a period of nine years, it will be presumed that the railroad company ratified the act of the president in making the contract, although he may have had no legal power at the time to make it on behalf of the company.</p> <p>A corporation may not avail itself even of ultra vires as a defense, where a contract has been entered into and executed in good faith by the other party, and the corporation has received the benefit of the performance.</p>