Essay issues - Misrepresentation (fraud)

Question 1

Intentional misrepresentation/fraud

Answer 1

Fraud requires 1) a misrepresentation, 2) of material fact, 3) known to induce reliance,
4) actual reliance, and 5) damages.

*Fraud can be a concealment as well, if the seller knew of the defect and failed to inform the buyer of the defect.

Question 2

Fraud damages

Answer 2

Plaintiff must prove actual, economic loss.

Question 3

Negligent misrepresentation

Answer 3

1) Defendant provided false information to plaintiff 2) as a result of D’s negligence in preparing the information 3) during the course of a business or profession, 4) causing justifiable reliance, and 5) plaintiff is either in a contractual relationship w/ D or a member of a group who was to benefit from the information.

Defenses - Neg defenses
Damages - Reliance and consequential damages