Kyle wants to buy a six-passenger car.The salesperson tells him that the two-seat sports car Kyle sees on the car lot would be just perfect for six people.Kyle test drives the car and then buys it.In this case:
A) Kyle has a valid cause of action for fraud.
B) Kyle was not justified in relying upon the salesperson's representation that the car would seat six people.
C) the element of scienter is missing.
D) the salesperson is a fiduciary.

Question

Quizplus · Accepted Answer

The salesperson's representation that the two-seat sports car would be perfect for six people is clearly false and unreasonable. Kyle's reliance on this representation was not justified, as it goes against common sense and the basic understanding of car seating capacity. However, there is no indication of fraud or any malicious intent on the part of the salesperson, so option A is not correct. The element of scienter is not relevant in this situation, as there is no indication of intentional deception or knowledge of falsehood. Finally, the salesperson is not a fiduciary in this case, as there is no special relationship of trust or confidence between Kyle and the salesperson that would give rise to fiduciary duties.

Kyle Wants to Buy a Six-Passenger Car