Question
A. Mike owns a restaurant and hires Alex to be the evening manager. Mike discovers the restaurant is running low on coffee and tells Alex
A. Mike owns a restaurant and hires Alex to be the evening manager. Mike discovers the restaurant is running low on coffee and tells Alex to go across the street to Terrys Market to buy some more. As Alex departs, Mike calls Terry to tell him to expect Alex, and to charge the coffee to Mikes account. Is Mike liable for the amount of the coffee purchase? Under which type of authority?
What if Mike had not called Terry? Would Mike still be required to pay for the coffee?
B. Later that month, Mike is out of town, and Alex is in charge of the restaurant for the evening. Alex notices that ketchup is in short supply, and goes to Terrys Market and charges $60 worth of ketchup to Mikes account. Is Mike liable for the amount of the ketchup purchase? Why or why not?
What if Alex had gone to Quinns Market instead, where there was no customer relationship? Is Mike still liable for the amount purchased?
What if Alex had purchased $100,000 worth of kitchen equipment without asking Mike? Is Mike liable?
C. Later that year, Mike terminates Alexs employment. In retaliation, he goes to Terrys Market and charges $300 worth of groceries to Mikes account and takes them home. Is Mike liable for these charges? Why or why not?
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