Phil buys a laptop from Mark for $1,000. Mark knew that the laptop had hardware problems. However, he told Phil that it was in excellent condition. In this scenario, which of the following is most likely to be true?

Question

Quizplus · Accepted Answer

The buyer who can prove fraudulent misstatements or failure to disclose on the part of the seller has a choice of remedies. He or she may rescind the contract, like the buyer who can prove only misrepresentation. A defrauded buyer also has the option of affirming the contract and suing in tort for damages resulting from the fraud. Phil can therefore rescind the contract, return the laptop, or sue for the difference between purchase price and true value of the laptop that has hardware problems.

Phil Buys a Laptop from Mark for $1,000