Lala instructed Mat, her agent to store 1000 sacks of onions and 200 tables at Mat's warehouse until she could find a buyer. She asked Mat to take care of her belongings as she would be leaving town for a few days. Mat later discovered that some of the onions had gone rotten and were going to contaminate the other perishable goods kept in the warehouse. Mat tried to inform Lala but was unsuccessful. Afraid that the situation could become worse, Mat then sold the onions and the tables to Luna at a lower price.

Advise Lala as to the law applicable in this situation and whether she is liable with the contracts made by Mat.

Answer rating: 100% (QA)

In this situation Lala has appointed Mat as her agent to store the onions and tables in Mats warehouse until a buyer is found However Mat facing the r... View the full answer