Damages as a remedy will not be available in which of the following situations?
A) Jones, although being careful, makes an innocent misrepresentation persuading Smith to enter a contract with him.
B) Jones makes a fraudulent misrepresentation, persuading Smith to enter a contract with him.
C) Jones makes a negligent misstatement, persuading Smith to enter a contract with him.
D) A false statement made by Jones becomes a term of the contract.
E) Jones makes and intentional misrepresentation of fact in order to get Smith to sign the agreement.

Question

Quizplus · Accepted Answer

Damages as a remedy will not be available in situations where the misrepresentation was innocent, meaning that Jones did not know or have reason to know that the statement was false. In this case, Jones was being careful and did not intentionally make a false statement, so damages would not be a remedy.

Damages as a Remedy Will Not Be Available in Which