Moore, an employee of Lewpenski Motors, fraudulently tells Tolson, a prospective car buyer, that the used car he is considering has never been in an accident. If Tolson buys the car in reliance on Moore's false statement, both Moore and Lewpenski Motors are liable to Tolson for damages based on the fraudulent misrepresentation.

Question

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Moore, acting as an employee of Lewpenski Motors, made a fraudulent misrepresentation to Tolson, which induced Tolson to make the purchase. Since Moore was acting within the scope of his employment, Lewpenski Motors can also be held liable for the damages resulting from this misrepresentation.

Moore, an Employee of Lewpenski Motors, Fraudulently Tells Tolson, a Prospective