Ken tells Laurie that his Mazda Miata has never been in an accident, when Ken knows that the car has been in two major collisions. This may give rise to an action for fraud, because the statement is one of

Question

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The statement is one of fact because Ken is making a false representation about the car's accident history, which he knows to be untrue. This misrepresentation can lead to an action for fraud.

Ken Tells Laurie That His Mazda Miata Has Never Been