Jane operates a home decorations shop selling slightly used goods. She bought a painting from Sally for the shop. Bob came into the shop and asked if the painting was by Bill, a local artist of some repute. Jane, without checking with Sally, says "I'm sure it is" because she really did think it looked like one of Bill's paintings. Bob bought the painting. A week or so later, he took the painting by Bill's studio. Bill just laughed and said that he never painted anything that horrible. Bob took the painting back to Jane and asked for a refund. Jane refused on the basis that she never gave refunds and that Bob took the risk that the painting was not done by Bill. Should Bob sue in small claims court, who will likely win and why?
A) Bob on the basis of negligent misrepresentation.
B) Bob on the basis of innocent misrepresentation.
C) Bob on the basis of unilateral mistake.
D) Jane on the basis that Bob accepted the risk of loss.
E) Jane both on the basis that Bob accepted the risk of loss and on the basis that he agreed by verbal contract to purchase the painting.
Correct Answer:
Verified
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