4. Andrew owned a well-established boutique in Ipoh. He is due to retire in six-months, so he decided to sell the boutique. He was introduced to Benny through one of his friend. During the meet up, Andrew said to Benny "There is no any other boutique within 30 miles from here". When asked about the boutique's performance, Andrew said that "I believe the annual level of profit is around RM00,000". Benny asked his accountant, Chloe to verify Andrew's stated level of profits. Chloe confirmed Andrew's statement, but in fact the boutique only make around RM300,000 profit per year. Benny asked for a few weeks to think it over. Andrew later discovered that TM, an international fashion store, is due to open a new store next to his boutique. He did not inform Benny about this. Few days later, Benny confirmed the purchase of the boutique with Andrew. A buy-sell agreement was then entered into between Andrew and Benny. Benny later discovered the true level of profit of the boutique as well as the opening of the international fashion store. Advise Benny