Sunday 3 June 2012

Rachel and Roy are married. Phillip is a private

Rachel and Roy are married. Phillip is a private investigator, who is following Rachel at Roy’s request, to see if she is involved in another relationship. At one point, Rachel enters a “women only” gym, where Phillip cannot follow. Phillip calls his friend Sue and tells her that if she will enter the gym and observe Rachel, Roy will pay her $25 an hour for her services. Sue goes to the gym and observes Rachel for 3 hours, after which she bills Roy for $75. Must Roy pay Sue’s bill?
A. Yes, because Phillip was acting as Roy’s agent when he hired Sue
B. Yes, because Sue is entitled to collect on a quasi-contract basis
C. No, because Roy is not liable for contracts entered into by Phillip
D. No, because Sue is not a licensed private investigator

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