Nasty Break-Up

Multiple Choice

Nasty Break-Up.Harold wants to purchase a lot next door to Sarah's home that is owned by Sarah.Harold knows Sarah will not sell the lot to him because they dated in the past and had a nasty break-up.Harold agrees with Alice that Alice will purchase the lot from Sarah for him.Alice and Sarah reach an agreement and enter into a contract whereby Sarah is to sell the lot to Alice for a price within the scope of Alice's authority.Alice tells Sarah nothing about her plan to later transfer the lot to Harold.Before title to the lot is transferred to Alice,Harold tells Alice that he no longer wants the lot.Alice tells Sarah about Harold.Sarah tells Alice that as far as she is concerned,Alice has bought the lot.Sarah says that she plans to move anyway and really does not care whether Alice or Harold ends up with the lot.She just wants her money.Which of the following is true regarding whether Harold is liable to Alice for the cost of the lot if Alice pays Sarah the purchase price?

A) Harold is liable to Alice for the cost of the lot.
B) Harold is liable to Alice for the cost of the lot,but only if the contract between Harold and Alice expressly stated that he would reimburse her for the cost of the lot.
C) Harold is liable to Alice,but only if she resells the lot and is unable to recover as much as she paid for it.
D) Harold is not liable to Alice for the cost of the lot.
E) Harold can avoid liability to Alice,but only if he can establish that unexpected circumstances caused him to refuse to purchase the lot from her.