Asked by
Easton Warner
on Nov 29, 2024
Verified
Adam wants to buy a six-passenger car. The salesman tells him that the two-seat sports car Adam sees on the car lot would be just perfect for six people. Adam test drives the car and then buys it.
A) Adam has a valid cause of action for fraud.
B) Adam is not entitled to relief based on fraud because he was not justified in relying upon the salesman's representation that the car would seat six people.
C) The element of scienter is missing in this fact situation.
D) The salesman is in a confidential relationship with Adam.
Justified Reliance
Legitimate dependence by a party on the representation or promise of another, typically in a legal or contractual context.
Scienter
A legal term that refers to knowledge of the wrongful nature of one's act or omission or the intent to deceive or defraud.
Fraud
Deliberate misleading actions taken to benefit oneself or harm another person.
- Acquire insight into and distinguish between diverse forms of falsehoods and their necessary criteria for relief.
- Determine the available legal solutions for breaches of contract resulting from false statements.
Verified Answer
SS
Learning Objectives
- Acquire insight into and distinguish between diverse forms of falsehoods and their necessary criteria for relief.
- Determine the available legal solutions for breaches of contract resulting from false statements.