Larson entered Forrester's Auto Mart to purchase a used car. Larson found a vehicle with a sales price of $11,000. After Forrester answered all of Larson's questions, Forrester and Larson agreed to a sale. As Larson was leaving to get the money to pay for the car, Forrester told Larson that he thought Robert Redford formerly owned the car. Larson later learned that Robert Redford had never owned the car. If Larson seeks to rescind the deal based on Forrester's statement, Larson will
A. win because he relied on the misrepresentation.
B. win because there was a misrepresentation of a material fact.
C. lose because he will not be able to prove reliance on the misrepresentation.
D. lose because Forrester made a unilateral mistake.
Answer: C
You might also like to view...
Explain why accountants are interested in the legal feasibility of a new systems project
Discrete production losses are assumed to occur at the end of a process
Indicate whether the statement is true or false
Which one of the following is a consequence of globalization according to Harvey (1992)?
a. The financial system has achieved an unprecedented degree of autonomy from real production, becoming dominated by an economy of signs representing capital flow, rather than an economy of things b. The instantaneous representational possibilities afforded by new communication technologies enabled the globalization of capital flows c. The globalization of financial markets collapses time, creating instantaneous financial transactions in loans, securities and other innovative financial instruments d. All the above
National manufacturers and retailers often pay a service provider to monitor television ads around the country, to ensure that their ads are shown in their entirety during the time frames that were purchased. This service provider is monitoring for IMC noise problems associated with
A. a poor choice of medium. B. an extended feedback loop. C. a flaw in the medium. D. lack of clarity in the message. E. competing messages.