When the party making the statement would have known the truth about the fact had he used reasonable care to discover or reveal it,the statement is a(n)________.
A)innocent misrepresentation
B)fraudulent misrepresentation
C)non-material misrepresentation
D)negligent misrepresentation
E)commercial disparagement

Question

Quizplus · Accepted Answer

In some contract negotiations,one party makes a statement of material fact that he thinks is true,but he is negligent in making the assertion.Such a negligent misrepresentation results when the party making the statement would have known the truth about the fact had he used reasonable care to discover or reveal it.

When the Party Making the Statement Would Have Known the Truth