diff --git a/modules.local/ppcp-api-client/tests/PHPUnit/Factory/AuthorizationFactoryTest.php b/modules.local/ppcp-api-client/tests/PHPUnit/Factory/AuthorizationFactoryTest.php
new file mode 100644
index 000000000..4544f35ce
--- /dev/null
+++ b/modules.local/ppcp-api-client/tests/PHPUnit/Factory/AuthorizationFactoryTest.php
@@ -0,0 +1,53 @@
+<?php
+
+declare(strict_types=1);
+
+namespace Inpsyde\PayPalCommerce\ApiClient\Factory;
+
+use Inpsyde\PayPalCommerce\ApiClient\Entity\Authorization;
+use Inpsyde\PayPalCommerce\ApiClient\Entity\AuthorizationStatus;
+use Inpsyde\PayPalCommerce\ApiClient\Exception\RuntimeException;
+use Inpsyde\PayPalCommerce\ApiClient\TestCase;
+
+class AuthorizationFactoryTest extends TestCase
+{
+    public function testFromPayPalRequestDefault()
+    {
+        $response = (object)[
+            'id' => 'foo',
+            'status' => 'CAPTURED',
+        ];
+
+        $testee = new AuthorizationFactory();
+        $result = $testee->fromPayPalRequest($response);
+
+        $this->assertInstanceOf(Authorization::class, $result);
+
+        $this->assertEquals('foo', $result->id());
+        $this->assertInstanceOf(AuthorizationStatus::class, $result->status());
+
+        $this->assertEquals('CAPTURED', $result->status()->name());
+    }
+
+    public function testReturnExceptionIdIsMissing()
+    {
+        $this->expectException(RuntimeException::class);
+        $response = (object)[
+            'status' => 'CAPTURED',
+        ];
+
+        $testee = new AuthorizationFactory();
+        $testee->fromPayPalRequest($response);
+    }
+
+    public function testReturnExceptionStatusIsMissing()
+    {
+        $this->expectException(RuntimeException::class);
+        $response = (object)[
+            'id' => 'foo',
+        ];
+
+        $testee = new AuthorizationFactory();
+        $testee->fromPayPalRequest($response);
+    }
+}