An agent who makes a contract for a disclosed principal whose contracts are voidable for lack of contractual capacity:

A) is never liable to the third party.
B) can be liable to the third party under certain circumstances.
C) is liable to the third party only if the agent warrants the principal has capacity.
D) is ordinarily personally liable to the third party if the principal avoids the contract.

Voidable

A legal term referring to a contract or agreement that may be declared invalid by one of the parties due to issues like fraud or misrepresentation.

Contractual Capacity

The legal ability of an individual or entity to enter into binding contracts, requiring understanding and agreement to the contract's terms.

Principals

Individuals or entities that engage an agent to act on their behalf in transactions or negotiations.