Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Andrew has recently had a big win on the lottery and has decided to purchase a company. He is extremely disappointed with the result of

Andrew has recently had a big win on the lottery and has decided to purchase a company. He is extremely disappointed with the result of the contract and would like to know if there is anything that can be done about them.

Contract one was with John, for the purchase of the company. During negotiations for the contract, Andrew enquired about the state of the accounts of the company, specifically, whether the company was profitable. John said this - "I'm unsure, but it is my opinion that the company is profitable. However, I will

check the accounts in the next week, if you do not hear from me you can assume all is well". After a week, Andrew hears nothing. The contract is then signed, but when Andrew receives the accounts he is upset to find the company has not profited in the last 6 months.

Would Andrew's conduct amount to a misrepresentation? If so, is it actionable, and could you ascertain what type of misrepresentation has been made?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Business Law And Its Environment

Authors: Richard Schaffer, Filiberto Agusti, Lucien J. Dhooge, Beverley Earle

8th Edition

0538473614, 978-0538473613

More Books

Students also viewed these Law questions