Katie Mows Her Own Yard to Save Money

question 57

Essay

Katie mows her own yard to save money. Her neighbor Jonah, however, hires a lawn service to mow his yard. One day, as Katie is looking out of the window, Jonah's lawn service drives up. To her surprise, they begin to mow her yard, not Jonah's yard. Katie thinks that is great and keeps her mouth shut while they mow the yard. Later, she gets a bill. She calls the owner of the lawn service and says that she does not have to pay because there was not a contract in place where she agreed to have her yard mowed. The lawn service says that she is liable for the full amount of its contract. Discuss whether the lawn service is entitled to any recovery, and why or why not.

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Definitions:

Limited Liability

A legal structure where a person's financial responsibility for a company's debts and obligations is restricted to a fixed amount, typically their investment.

Sole Proprietorship

A business owned and operated by a single individual, where there is no legal distinction between the owner and the business.

Undisclosed Principal

A person who is represented in a transaction by an agent but whose identity is not revealed to the third party involved.

Agent's Authority

Refers to the powers granted to an agent by the principal, enabling the agent to act on behalf of the principal in legal or business matters.