Lightle, a real estate agent in Anchorage, listed a house for sale by the Leighs. The Williamses

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Lightle, a real estate agent in Anchorage, listed a house for sale by the Leighs. The Williamses made an offer to buy the house, and the offer was accepted, conditional on their obtaining a mortgage. Later, another realtor had a client, Seeley, who was interested in the house. Lightle said the house was available as "the first offer was dead." Seeley made an offer that the Leighs accepted. Believing she had a deal on the house, Seeley canceled her existing lease, switched over the utilities, and rented a truck to move. Unknown to Seeley, Lightle wrote on her offer that it was a back-up contract only if the Williamses could not get financing, which was still in process.

1. The court held that Lightle committed fraud by not telling the truth about the contract status of the house. Did he intend to deceive the buyer?
2. Since Lightle was the representative of the sellers, the Leighs, why should he have any obligation to the buyer, Seeley?

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The Legal Environment of Business

ISBN: 978-0538473996

11th Edition

Authors: Roger E Meiners, Al H. Ringleb, Frances L. Edwards

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