In order to bind the principal finally a ratification must be made with full knowledge of the material facts. If made without such knowledge the principal may avoid both the ratification and the original contract, at least as to those who have not in good faith acted upon the ratification.1 A sale is ratified by the principal's receipt of money which he had no reason to think came from any other source except the sale thus ratified;2 but mere delivery of goods by the principal according to the terms of the contract made by his agent would not be a ratification unless the principal knew of the contract,3 as where the goods had been sold with an unauthorized warranty.4 So if a claim agent agrees to pay one injured by the fault of the road a certain sum of money and employment for life in settlement of his claim, payment of such sum and employment of such person by the railroad for a limited time is not ratification of the contract for permanent employment unless known to the

1 Marsh v. Joseph (1897), 1 Ch. 213; Bennecke v. Ins. Co., 105 U. S. 355; Bell v. Cunningham, 3 Pet. (U. S.) 69; Wheeler v. McGuire, 86 Ala. 398; 2 L. R. A. 808; 5 So. 190; Martin v. Hickman, 64 Ark. 217; 41 S. W. 852; Ballard v. Nye, (Cal.), 69 Pac. 481; Estrella Vineyard Co. v. Butler, 125 Cal. 232; 57 Pac. 980; Dean v. Hipp, -Colo. App. - ; 66 Pac. 804; Oxford Lake Line v. Bank, 40 Fla. 349; 24 So. 480; Ludden. etc., Music House v. McDonald, 117 Ga. 60; 43 S. E. 425; Meyer v. Wegener, 114 Ia. 74; 86 N. W. 49; Beacon Trust Co. v. Souther, 183 Mass. 413; 67 N. E. 345; Thatcher v. Pray, 113 Mass. 291; 18 Am. Rep. 480; Combs v. Scott, 12 All. (Mass.) 493; Leon-ardson v. Troy Tp., 125 Mich. 209; 84 N. W. 63; Godfrey v. Ins. Co., 70 Minn. 224; 73 N. W. 1; Hunt v. Agricultural Works, 69 Minn. 539; 72 N. W. 813; Prentiss v. Nelson, 69 Minn. 496; 72 N. W. 831; Bullard v. DeGraff, 59 Neb. 783; 82 N. W. 4; Henry, etc., Co. v. Halter, 58 Neb. 685; 79 N. W. 616; Cram v. Sickel, 51 Neb. 828; 66 Am. St. Rep. 478; 71 N. W. 724; Bierman V. Mills Co., 151 N. Y. 482; 56 Am. St. Rep. 636; 37 L. R. A. 799; 45 N. E. 856; Stock Exchange Bank v. Williamson, 6 Okla. 348; 50 Pac. 93; Conser v. Coleman, 31 Ore. 550; 50 Pac. 914; American National Bank v. Cruger, 91 Tex. 446; 44 S. W. 278; Moyle v. Society, 16 Utah 69; 50 Pac. 806; Halsey v. Monteiro, 92 Va. 581; 24 S. E. 258; Armstrong v. Oakley, 23 Wash. 122; 62 Pac. 499; Knapp v. Smith, 97 Wis. 1ll; 72 N. W. 349.

2 Columbia, etc., Co. v. Tinsley (Ky.), 60 S. W. 10.

3 Estrella Vineyard Co. v. Butler, 125 Cal. 232; 57 Pac. 980.

4 Bierman v. Mills Co., 151 N. Y. 482; 56 Am. St. Rep. 636; 37 L. R. A. 799; 45 N. E. 856, railroad.5 Mistake as to a collateral contract made with other parties as a means of performing the contract ratified, does not avoid a ratification.6