Both parties have signed an agreement regarding the purchase and sale of a new vehicle. Which of the following would allow the contract to be set aside on the basis of misrepresentation?

Question

Quizplus · Accepted Answer

Misrepresentation can be a basis for setting aside a contract if it induced the party to enter into the contract. The misrepresentation could be made unknowingly or in good faith, and it does not necessarily have to be in writing. It only needs to be a material fact that influenced the decision to buy the vehicle. However, the statement must be false, as truth is not misrepresentation. Therefore, option D is incorrect.

Both Parties Have Signed an Agreement Regarding the Purchase and Sale