Lois was the agent of Lester, who owned a store in Walton, Iowa. While Lester was away on vacation, the Mississippi River reached record flood. As an agent, Lois only had permission to engage in sales at the store and purchase certain items. Faced with the prospect of losing all goods, Lois shipped Lester's inventory to a storage facility 200 miles away, out of the path of the flood waters. This incurred costs, but saved the inventory. Lois acted in:

Question

Quizplus · Accepted Answer

Lois acted beyond her explicit permissions but did so to prevent a loss to Lester's property, which aligns with the principle of acting in the principal's best interest under extraordinary circumstances, even if it means deviating from specific instructions. This action does not neatly fit into violations of loyalty, obedience, or accounting, nor does it solely align with the duty of accounting. It reflects a broader interpretation of acting in the principal's best interest under emergency conditions.

Lois Was the Agent of Lester, Who Owned a Store