in most cases, the receiver, as the object of the client's permission, handles it within the rights granted by the client, and then signs the contract in his own name. The contract signed at this time is to realize the responsibility that you should pay, so the contract at this time is valid. No matter the receiver, the client or the third party, they should fulfill their contractual obligations.

at this time, no matter which party breaches the contract, it is necessary to bear the responsibility for breach of contract and compensate the other party for its losses. For example, Zhang San entrusts Li Si to buy a house. As long as Li Si signs a house purchase contract in Wang Wu within the scope of authorization, the contract is valid, and all three people need to fulfill their contractual obligations.

when signing a contract, the third party often knows the trust relationship between the principal and the consignee, so the consignee's signing and contract at this time are bound to the principal authorized at the back. For example, in the above example, Li Si took the initiative to explain the reason. Wang Wu knew that Li Si was entrusted by Zhang San, so this contract can bind Zhang San and Li Si at the same time, and Zhang San and Li Si need to perform their contractual obligations at the same time.

Even if the contract is invalid, you should bear the responsibility according to the fault of breach of contract

In practice, many factors will affect the final validity of the contract. Therefore, even if the two parties sign the contract voluntarily through consultation, it is not absolutely effective, and in some cases it is only temporarily invalid. Let's illustrate from this case that if the house sold by Wang Wu has long been sold to Zhao Liu, then Zhao Liu can sue, and then the court will hold that the contract signed by Wang Wu and Li Si has no legal effect.

when the contract has no effect, it is unnecessary to perform the contract, and the liability for breach of contract stated in the contract is also invalid. At this time, there are two ways to deal with it:

1. After the contract is invalid, because the interests generated by the contract should be clarified, the amount obtained should be returned, and equivalent compensation should be made if it cannot be returned;

2. If one party is at fault, then compensate the other party; If both sides are at fault, then each will bear its own fault.

It is very common to have disputes in our daily life when we sign a contract because we buy anonymously and find someone else to represent us. At this time, if the contract is valid, then the breaching party will bear the responsibility for breach of contract. If the situation is complicated and it is difficult to judge whether it is effective, it is best to entrust a professional lawyer to handle it, especially when the amount involved is large, you must seek professional help to better safeguard your rights and interests.

Legal Basis

Article 42 of the Contract Law of the People's Republic of China

A contract concluded by the agent with a third party in his own name within the scope of authorization of the principal, and if the third party knew the agency relationship between the agent and the principal at the time of conclusion of the contract, the contract directly binds the principal and the third party, unless there is definite evidence to prove that the contract only binds the agent and the third party.

this article is about the stipulation that the trustee enters into a contract with a third party in his own name, and if the third party knows the agency relationship, the contract will directly bind the principal and the third party.