Mrs Sharp, the Owner of a Restaurant, Induced the Morissons

question 178

Multiple Choice

Mrs. Sharp, the owner of a restaurant, induced the Morissons to buy the business by a misrepresentation; the invoices made her costs appear less than they actually were, and thus her profits more than they actually were. On these facts, which of the following is false?

• A) The cause of action could be for the tort of deceit, if there was evidence that Mrs. Sharp intended to deceive them.
• B) The court could not award the equitable remedy of rescission if evidence showed that Mrs. Sharp really believed the invoices were accurate.
• C) The court could award the equitable remedy of rescission if the evidence showed she had fraudulently misrepresented the costs.
• D) The court could terminate the contract for breach of contract if the accurate statement of costs and profit were essential terms of the contract.
• E) The court could not award the equitable remedy of rectification because the argument is not about rectifying an erroneous written version of a previous oral contract.

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Definitions:

Time Series

A forecasting technique that uses a series of past data points to make a forecast.

Cycles

Patterns in the data that occur every several years.

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Unpredictable fluctuations in data or processes that do not follow a discernible pattern or trend.

Forecasting Techniques

Various quantitative and qualitative methods used to predict future events or trends, such as demand for products or services.