Asked by Raytchelle Miranda on Jul 30, 2024
Verified
One of the differences between fraud and misrepresentation is that:
A) fraud cases require materiality.
B) in fraud cases,the injured party has the option of suing for monetary damages.
C) misrepresentation requires scienter.
D) a false statement of opinion cannot be the basis for a claim of misrepresentation.
Fraud
The intentional deception or misrepresentation made by a person or entity to gain an unfair advantage or harm another party.
Misrepresentation
The act of giving false or misleading information about a material fact, which can lead another person to act to their detriment or alter their position.
Scienter
Knowledge of wrongdoing or fraudulent intent in legal contexts, essential for establishing liability in some cases.
- Examine the judicial outcomes of inaccuracies and errors during the creation of contracts.
- Distinguish between expressions of opinion and factual representations within the framework of fraudulence and deception.
Verified Answer
ZK
Zybrea KnightAug 06, 2024
Final Answer :
B
Explanation :
A person who commits fraud may be liable for damages,possibly including punitive damages,for the tort of deceit.Some states allow the injured party in a case involving fraud to rescind the contract and sue for damages.
Learning Objectives
- Examine the judicial outcomes of inaccuracies and errors during the creation of contracts.
- Distinguish between expressions of opinion and factual representations within the framework of fraudulence and deception.