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

Question

Quizplus · Accepted Answer

The salesman's representation that the sports car would seat six people was clearly false and Adam should not have relied on it. Therefore, Adam was not justified in relying upon the salesman's representation. However, this does not automatically mean that Adam has a valid cause of action for fraud, as there may be other factors in play. The element of scienter (knowledge of the falsity of the representation) may or may not be present, but it is not relevant to the question of whether Adam was justified in relying on the representation. There is also no indication that the salesman is in a confidential relationship with Adam.

Adam Wants to Buy a Six-Passenger Car