Question
Heidi is going on a spiritual holiday overseas for four weeks. She asks her neighbour, Mark, to keep an eye on her house while she
Heidi is going on a spiritual holiday overseas for four weeks. She asks her neighbour, Mark, to keep an
eye on her house while she is away. A week after Heidi leaves, a big storm flings a branch through a
window in her house. Mark buys material to cover the window to secure it and protect Heidi's house.
Can Mark receive the costs of the materials from Heidi? Explain your answer referring to relevant law.
Mark can be entitled to receive the costs of the materials from Heidi if she approves his
actions. An agent owes reasonable care towards the principal and in turn the principal should
owe compensation or reimbursement for the agent's effort. Ratified Authority occurs when an
agent acts without approval or authority of the principle, however the principle later approves
said acts. Approval can be signified with silence or affirmation. In this scenario Mark made a
rational decision and acted reasonably when he purchased materials for Heidi due to the natural
events of the storm. As he acted on behalf of the principal (Heidi), she must compensate Mark
as it was an out-of-pocket expense.
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