BLW ch 11 problems

BLW ch 11 problems - Stephanie Baggio Professor Devience...

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Stephanie Baggio Professor Devience BLW 201 Ch. 11 Problems 2, 3, 8, 9, 11, 14 2a. The court would uphold the contract and would not return the money to Davis because Davis cannot show any of the five defenses in order to set aside the contract. There was no scienter because Johnson said he “believed” and didn’t knowingly misstate a fact and statements regarding value of worth are not fraud unless the person stating that fact declares himself an expert. Johnson never misstated a fact because the farm really cost $150,000 when he purchased the farm. Also, statements of worth are not false representations of a fact. b. Now, there is fraud involved because Johnson misstated a fact about how much he paid for the farm when he bought it and he knowingly lied about it. Since Davis relied on that information and it influenced his decision to purchase the land, materiality is involved as well. Thus, the court will set aside the contract and give Davis his money back and give the farm back to
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This note was uploaded on 10/23/2011 for the course BLW 201 taught by Professor Devience during the Fall '11 term at DePaul.

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