An agent is given authority by the principal to sell a property. The principal only states that the agent may sell the property in order to sell it. Therefor, the agent contract to have these improvements made. He/she then sells the property. The principal believes that the improvements were not authorized and refuses to reimburse the agent for the expenses associated with the sale.

What rights and liabilities does the principal have?

What rights and liabilities does the agent have?

Does the principal have to reimburse the agent?

If the principal refuses to reimburse the agent, what actions can the agent take?

If both parties were to engage in a lawsuit, who would win?