Scheming Friends.Willy very much wants to rent a basement apartment in Weaver's home.Willy threatens to tell all Weaver's friends that he and Weaver had been arrested for illegally smoking marijuana unless Weaver rents the apartment to him for $100 per month.Weaver reluctantly agrees to rent the apartment to Willy for that amount.Willy also wants to buy Weaver's car.Weaver runs back the odometer on the car before Willy test-drives it.Willy is impressed by the low mileage and agrees to buy the car.Finally,Weaver offers to sell Willy a ring for Willy's fiancée.Weaver tells Willy that the ring is a diamond and believes that to be true.After the deal is made,however,a jeweler friend of Weaver's informs him that the ring is a fake.When Willy shows up with the money,Weaver says nothing.He just hands Willy the ring and takes the money.Later,Willy finds out that the odometer was run backwards from another friend to whom Weaver confided.Willy also finds out from his girlfriend that the ring is a fake.Which of the following is true regarding Willy's agreement to purchase the car?

Question

Quizplus · Accepted Answer

For fraudulent misrepresentation to be the basis for a contract rescission,the statement of fact need not be an actual assertion.For example,concealment can be treated as the equivalent of an actual assertion.Concealment involves the active hiding of the truth about a material fact.For example,a seller removing mileage from a car's odometer before selling it to a buyer constitutes concealment.