Dalsons Tears Outhouse Quest

[Tal]

In the Western Plaguelands, at the farm Dalson's Tears, is an outhouse which has a quest (monster inside). It requires the " Dalson's Tears Outhouse Key" to be opened, which apparently the level 55 Wandering Skeleton near the outhouse must have. But I've killed the skeleton over a dozen times now without seeing the key among the loot. Am I missing something here?
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You have to first read the diary in the barn then kill wandering skeletons until the key drops. Then kill the ghoul and loot the cabinet key. Take the cabinet key and open up the cabinet.