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Need help with my writing homework on Misrepresentation in the Law of Contract. Write a 2000 word paper answering;
Need help with my writing homework on Misrepresentation in the Law of Contract. Write a 2000 word paper answering; Jennifer’s statement concerning the forecourt’s capacity to house three car washers appears to be a case of either fraudulent or negligent misstatement. It is also obvious that Jennifer’s statements, particularly the statement in respect of the petrol company’s profits induced Hassan to enter into a contract for the purchase of the garage. Therefore, Hassan’s situation contains all the essential elements necessary to substantiate a claim for misrepresentation and he is entitled to damages and/or rescission in respect of those misrepresentations. Jennifer’s failure to mention the competing bigger garage, however, does not rise to the level of misrepresentation and this will be explained in greater detail in the discussion that follows.
As noted a misrepresentation can be made in one of three ways. A misrepresentation can be made negligently, fraudulently or innocently. In either case, the claimant must prove that he or she relied upon the misrepresentation or was induced to enter into the contract by the misrepresentation.3 If the representee does not rely on the misrepresentation and relies on his own information and judgment then he cannot be said to have relied on the misrepresentation.4 Therefore the fact that Hassan did not inspect the documents and records available will not function to defeat his claim. Moreover, it was held in Redgrave v Hurd (1881) 20 Ch D 1 that even if the representee is offered an opportunity to counter the misrepresented facts he will still be taken to have relied upon the misrepresentation.5 Therefore whether or not Hassan relies on Jennifer’s statements and representations will be crucial to determining how he should proceed and what kind of outcome he can reasonably expect.
The facts reveal that Jennifer reasonably believed that the petroleum company had turned over significant profits in recent years. In .fact, that was her recollection of the accountant’s last report to her. . .
