Matt Sells Bikes at a Local Discount Store

question 57

True/False

Matt sells bikes at a local discount store.To encourage Bob to buy a more expensive model than he originally contemplated, Matt tells Bob, "This is the most awesome bike money can buy at this price.You can expect lots of riding pleasure." Based on this statement Bob buys the bike.A week later, before his bike is fully paid for, Bob sees a far superior bike for a lower price at another store.Bob can avoid his contract with Matt because of fraudulent misrepresentation.

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Definitions:

Power of Avoidance

The legal ability to nullify or cancel a contractual agreement or transaction under certain conditions.

Disaffirmance

The legal right of a party to renounce or revoke a contract or agreement, particularly relevant in cases involving minors or instances of fraud.

Ratify

To formally approve or confirm an agreement or act, making it officially valid.

Ratified

Confirmed or made official by formal consent or approval, typically used in the context of constitutional amendments or treaty agreements.