When a naïve purchaser enters into a contract in reliance on the opinion of an expert, the innocent party is not entitled to rescind the deal.

Question

When a naïve purchaser enters into a contract in reliance on the opinion of an expert, the innocent party is not entitled to rescind the deal.​

Quizplus · Accepted Answer

When a naïve purchaser relies on the opinion of an expert, it is known as misrepresentation. If the misrepresentation is innocent or negligent, the innocent party may rescind the contract. However, if it is fraudulent or reckless, the innocent party may rescind the contract and claim damages. Therefore, the innocent party is entitled to rescind the deal in such cases.

When a Naïve Purchaser Enters into a Contract in Reliance