1. Harold Green and Herbert Green, who were unrelated persons with the same surname, carried on parcel delivery businesses in the same city. Each operated as a sole proprietor, under the name Green Delivery, and carried on business from the same warehouse building. The two men were good friends. They frequently assisted each other by carrying parcels for the other in deliveries to outlying parts of the city. To complicate matters further, the two proprietors would sometimes use the spare truck owned by the other when their own vehicles had breakdowns or required service. Apart from the fact that each had a different telephone number, it was difficult to distinguish between the two firms. Over time, regular customers often referred to the two firms collectively as "Green Brothers Delivery."Fiona, an antique dealer who frequently used the delivery services of both men, requested Harold Green to deliver an expensive antique chair to her country home. Harold Green, at the time of the request for pickup, advised Fiona that he would send his truck out to pick up the chair and have her sign an agreement for the delivery at that time. However, Herbert Green brought over the agreement between Harold and Fiona for signature, and then picked up the chair at Fiona's place of business and took it to the warehouse for delivery. That day a fire of unknown origin destroyed the warehouse. The charred remains of the chair were found in a jointly used part of the warehouse after the fire.The chair had a value of $3,000.Harold and Herbert each denied liability for the loss.
2. Suppose Fiona did not know that Harold and Herbert operated separate businesses.What could she argue and who would be liable for the loss if her argument is correct? (3 marks)

1. Suppose Fiona did know that Harold and Herbert operated separate businesses.What could Herbert argue to avoid being liable for the loss? (3 marks)