The office manager for a client signed a contract for design services.

Contractual capacity refers to the legal authority of a party to enter a binding agreement. If the office manager lacked authorization from the owner to sign the contract, the agreement may be voidable due to this capacity issue. Mutual assent (A) involves agreement between parties, not authority to sign. Breach of contract (B) occurs after a valid contract is violated, not applicable here. Designer responsible disclaimer (D) is unrelated to signing authority. The core issue is whether the office manager had the legal power to commit the owner, making C correct.

Verified Answer from Official Source:C - contractual capacity

"Contractual capacity ensures that the signing party has the legal authority to bind the entity to the agreement; lack of capacity can invalidate a contract." (NCIDQ IDPX Study Guide, Section 5: Professional Practice)

Explanation from Official Source:The NCIDQ stresses that designers must verify the signer’s authority to avoid unenforceable contracts, a key aspect of professional liability and practice.

Objectives:

Understand legal principles of contracts (IDPX Objective 5.3).